Provider of in-depth & balanced analysis on hot issues around the world

한국어로 읽기 Leer en español In Deutsch lesen Gap اقرأ بالعربية Lire en français Читать на русском So far in the 21st century, we are witnessing the consolidation of an international division of labor in which the levers of economic, political, and technological power are increasingly decoupled from local capacities for the vast majority of nations and relocated to the international arena. The cooperative competition among oligopolistic forces vying for control of key assets to secure global hegemony—energy, finance, digital technology, logistics, military, and space—is one of the fundamental vectors of this framework. The constant expansion of these forces is rooted in the constitutive interaction between giant corporations in strategic sectors and the core states of the new poly-globalization—namely the United States and China—whose geopolitical rivalry is intrinsically linked to the success of the accumulation regime. The oligopolies and their centers of origin appropriate the market and innovation rents generated by the new productive map, accumulating a structural and relational power (in Susan Strange’s terms) that is quickly and markedly outpacing the rest. In this way, both companies and states outside these core zones are being pushed into increasingly dependent positions regarding the technologies, goods, and basic services produced by the winning oligopolies. They are, we might say, being shifted to the new extended periphery. How does this happen? What role does technology play, and where is Latin America in this story? GEOPOLITICS Today, the United States and China sit at the center, while the rest of the world occupies the periphery. UNCTAD Secretary-General Rebecca Grynspan (2023) describes the novel emergence of “centers within the periphery” as part of a process she calls poly-globalization: both China’s rise to the top ranks of global power and the consolidation of highly productive and commercial hubs in other parts of Asia challenge the sustainability of the post–Cold War unipolar world and the traditional North–South divide. Within this framework, historical peripheral dependency does not disappear, but rather changes in form and geography—especially considering that a growing number of developed countries are becoming productively and technologically dependent on countries like China, more so than the reverse (a case in point is Germany in the automotive industry; Zhang & Lustenberger, 2025). However, the periphery is not a homogeneous entity, and not all regions and countries have the same capacities or room for maneuver within this scheme, where starting points significantly shape long-term trajectories. Developed countries (formerly located at the center) remain better equipped than developing countries to face the challenges of their new condition. We can conceptualize the peripheral configuration as tiers or peripheral rings: there is no “semi-periphery”, but rather tiers or rings within the periphery. From this perspective, we might say that Western Europe constitutes a first peripheral ring (1st tier periphery), and industrialized Asia a second ring (2nd tier periphery). Latin America, in this framework, occupies a third ring: it possesses certain accumulated productive capabilities, but due to being more "distant" from the center in terms of the criticality of its production, it receives fewer benefits from integration into major global value chains in terms of investment and technological learning (as Evolutionary Economics and Latin American Development Theory have long pointed out, producing semiconductors, AI, or green hydrogen technology —as in Taiwan, India, or Germany, respectively— is not the same than assembling automobiles as in Mexico and Argentina). In this scenario, the Latin American region—historically subordinated to a single center (the North-Center)—is now subordinate to two. China has been rapidly tightening its economic ties with the region, primarily through trade and financial assistance (Dussel Peters, 2021; Ugarteche & De León, 2020; Villasenin, 2021). Chinese foreign direct investment (FDI) in Latin America and the Caribbean, for example, rose from less than 1% of the region’s total FDI in 2012 to 10.8% in 2019 (although it still lags behind investment from the US and the European Union) (Dussel Peters, 2022). The Asian giant is already Brazil’s main trading partner, is rapidly deepening its ties with Mexico, and an increasing number of countries across the continent have joined the Belt and Road Initiative, including Argentina since 2022 (the other two major Latin American economies have not joined so far). However, the benefits of these relationships for the region remain ambivalent: on the one hand, they have reduced financial dependence on the US—a significant achievement—but they have not yet translated into higher value-added development such as export diversification or upgrading. On the contrary, they have tended to reinforce the trend toward re-commoditization of local economies (Wainer, 2023; Alami et al., 2025). DIGITAL ECONOMY The current dynamics of the tech industry are particularly illustrative of the broader landscape described above, and for that reason, we take it as a focal point of observation. Google, Apple, Meta, Amazon, Microsoft, Alibaba, Tencent, and Huawei—the flagship tech giants of the US and China, commonly referred to as Big Tech (BT)—operate collectively as a global oligopoly. This formation increasingly relegates Latin America to the role of data provider and accelerates the shift of other industrial powers from technology innovators to adopters—that is, to a position of subsidiarity. To this picture we must add Nvidia, the Musk ecosystem, and DeepSeek, among other firms whose products and executives carry significant weight in the global chain of technological decision-making, beyond even their specific market shares. No country outside of the US and China has leading firms in AI, cloud computing, advanced chip knowledge, or 5G champions (with the exception of Ericsson in the latter sector, which remains Swedish. It’s worth noting that Nokia is not included here, as although its production and brand profile are still centered in Norway, the largest shareholding stake belongs to BlackRock). An example of an interesting yet ultimately failed challenge to Big Tech dominance in large-scale projects is the European federated cloud initiative Gaia-X (European Association for Data and Cloud AISBL, https://gaia-x.eu/about/). Originally promoted by the Ministers of economic affairs of Germany and France, Gaia-X is a non-profit international association that brings together companies, state agencies, and third-sector organizations involved in European industrial and technological development (such as SAP, Siemens, the Fraunhofer-Gesellschaft, or Luxembourg’s National Data Service, alongside hundreds of SMEs). Its aim is to pool capabilities in order to create a large shared cloud infrastructure that allows companies and public bodies to store and develop applications securely—that is, independent of servers located outside the continent that fail to meet European data protection standards. In short, the goal is to enable competition with US tech giants and ultimately establish a “gold standard” in data security that tends to exclude them—driven by European governments’ stated concern over the region’s digital sovereignty. The conceptually appealing strategy of combining the complementary capacities of local companies of different sizes on a single platform and offering joint products, initially acted as a carrot for the industry (over 300 members joined, up from 22 at the beginning). However, over time, even the governments most vocal about sovereignty declined to adopt Gaia-X as a primary provider: Germany, for instance, signed a €3 billion agreement with Oracle Cloud (a strategic partner of AWS, Microsoft, and Nvidia) to provide cloud services in 2024. To this day, US tech giants continue to control 70% of the European cloud market (Gooding, 2024). Gaia-X remains a valuable project with over five years of development, but with frankly limited real-world reach—also, it must be said, due in part to the tech giants’ own offensive, as they increasingly offer services aimed at the “territorialization” of data (e.g., https://www.oracle.com/cloud/sovereign-cloud/what-is-sovereign-cloud/). As things stand, the European industrial powers do not control the supply, circulation, or demand of digital technologies, and major Asian players—such as India or Taiwan—occupy intermediate links in the value chains of either the Western bloc or China, depending on the case. This kind of displacement is not so surprising when we consider the oligopolistic dynamics that currently govern the global economy, involving the leadership of core countries across all strategic sectors. Particularly in the digital economy. Oligopoly is a market structure in which a small number of firms control the supply of certain goods and/or services—that is, a large-scale market dominated by a few major sellers, who are often interconnected. Oligopolies are everywhere (in oil, automotive, telecommunications, and more), but in certain sectors, structural traits such as the hyper-scale at which production is viable and profitable, the pace of innovation required for sectoral expansion, or the relevance of brand reputation drive the formation of so-called natural oligopolies (NOs): markets in which open competition (several smaller actors producing the same and rotating their market shares over time) would tend to hinder efficient production. In these markets, the number of firms capable of minimizing total industry costs is “naturally” low, due to the high entry barriers that are established. Each NO actor holds considerable market power, allowing it to develop productive and technological capacities in a privileged way over long periods. As a result, the minimum threshold for joining the oligopoly becomes increasingly difficult for outsiders to overcome. This is the case in sectors such as the extraction of scarce and critical natural resources (like lithium), energy generation and supply (e.g., wind farms), large physical and cyber-physical infrastructure for logistics (commercial ports and oceanic bridges, 5G, or submarine internet cables), or transversal digital technologies (like AI, big data, or cloud computing). All of these require massive upfront investments, accumulated know-how, strong commercialization capacity, and the ability to retain rents—which includes “artificial” legal barriers such as intellectual property rights, trade secrets, and various mechanisms to capture innovation rents. It’s not the same to have oil reserves in your territory and develop or invite companies to exploit them (which several countries do, with companies of varying sizes) as it is to develop powerful AI models using 20 years of data from the entire public internet (which only OpenAI-Microsoft of the US originally achieved with ChatGPT, even though the data came from millions of people around the world). In fact, comparable AI capabilities have only been reached by Google’s Gemini and the open-source DeepSeek model recently developed in China following US sanctions on Nvidia chip acquisitions. In a technological oligopoly, the ability to invest and innovate at scale grants companies significant prospective power: they can pour enormous sums into R&D and start-up acquisitions to develop innovations that will pay off a decade later—after numerous failed attempts costing millions—thus shaping future markets in the process (Google, for example, has heavily invested in AI development since the 1990s and has, at times, acquired one start-up per week). Additionally, NO actors actively exclude potential competitors outside the oligopoly through more questionable mechanisms such as collusion or lobbying, among others (Borrastero & Juncos, 2024). Today, given the broad productive and geographic scope of global value chains and the extreme concentration of investment capacity typical of financial capitalism, more and more markets are becoming structured as natural oligopolies. Especially in digital technologies. Only Amazon, Microsoft, Alibaba, and Google together dominate 75% of the global cloud computing market (with respective shares of 47.8%, 15.5%, 7.7%, and 4%, according to Gartner, 2024), a sector whose relevance is crucial for the development of technologies such as generative AI. In the years leading up to the COVID-19 pandemic, Google, Facebook, Amazon, and Microsoft also became owners or lessees of more than half of the world’s submarine bandwidth capacity—a market historically controlled by states and large telecommunications companies like NEC, Alcatel, and Fujitsu, which still make up the backbone of global data traffic infrastructure (Business Research Insights, 2025). Huawei is the world’s largest supplier of telecommunications equipment, particularly for 5G networks and smartphones, holding a 28% share of the global market and over 4,000 patents (Merino et al., 2023). This helps explain Donald Trump’s insistence on making it both a material and symbolic target in the US-China trade war. The fact that Big Tech companies share technological and market domains—beyond specializing in particular niches—fuels an intense internal competitive race that, unlike monopolies, drives continuous innovation. This means that, in addition to competing to outdo one another, these firms also cooperate extensively to maintain their global leadership far ahead of the rest of the market: each company develops interoperability features to ensure their apps function properly on others’ platforms, and they share open source projects on GitHub (now owned by Microsoft), for instance. Microsoft has contributed significantly to the development of AI in China through its Microsoft Research Asia lab in Beijing and collaborations with Chinese institutions such as the National University of Defense Technology (Hung, 2025)—efforts that neither the US nor Chinese governments have blocked. Long before the current reloaded geopolitical confrontation emerged, core-country governments had already been promoting initiatives aimed at the expansion and globalization of their tech firms, such as China’s Digital Silk Road (Borrastero, 2024) or Silicon Valley itself in the US (it bears repeating just how much state R&D funding is packed inside an iPhone; Mazzucato, 2013). And what each state has done to strengthen its own technological base has ended up, in some way, benefiting the other. Consider, for example, that what China’s customs agency classifies as “foreign-invested enterprises” are mostly US-based companies, which control three-quarters of the country’s most advanced high-tech products. These include large-scale electronics exports that often involve importing key components from the US, assembling them in China via foreign companies like Foxconn (which builds Apple’s iPhones), and then exporting them. At the same time, private Chinese firms have also expanded their role in these core exports, going from virtually zero in the 1990s to over 20% today (Kenji Starrs, 2025). The offshoring of US tech production has helped the US continue leading by producing more cheaply, and has helped China learn how to lead too. As can be seen, the actors of a Global Technological Oligopoly (GTO) are deeply interdependent. To this picture, we must add the increasingly blatant symbiosis between dominant governments and individual stakeholders, as exemplified by the Trump-Musk case. We are no longer simply talking about "public-private complexes", "revolving doors" or "intimate relations". These notions describe very close ties, but between separate entities. What we are seeing now is a kind of fusion (or confusion) between a tiny handful of public and private actors who are able to govern strategic global value chains and set the rules of the game for the rest of the world. In China’s case, the country is characterized by what Weber and Qi (2022) describe as a “state-constituted market economy”: a strong state deeply intertwined with a fundamentally marketized economy, resulting in a political-economic balance that differs somewhat from Western models but still yields a global power that is difficult to challenge. In sum, we are witnessing a competition scheme designed for the very few, that generates a spiraling cycle of leveraged success in which core states play a crucial role. LATIN AMERICA A scheme like this reinforces Latin America's historic peripheral condition. GTO companies operate directly within the territory (setting up data centers, having subsidiaries, providing services, among other things), but they also rely on regional actors to amplify the generation of indigenous data, the large-scale paid consumption of BT’s technological infrastructures, and the global dissemination of their business models. The free domestic use of email applications or social networks enables data capture, but not the monetization of digital assets, whose massive volume comes from services provided to businesses and governments (as someone aptly put it, Amazon is famous for its store but rich from its servers; Lacort, 2021). In Latin America, there is a handful of large technology companies – the so-called 'tecnolatinas' – that replicate the e-marketplace, fintech, or cryptocurrency development models characteristic of the BT, managing to stand out as champions in the regional league far ahead of the rest. However, they continue to be dependent users of the fundamental technologies produced by the GTO. Mercado Libre, originally from Argentina, is the largest and most widely used digital platform on the continent, the one with the highest market value, and the first to be listed on Nasdaq. Modeled after Alibaba, it is a marketplace with an integrated online payments and credit system, technology development and service divisions, and an extensive ground-based logistics infrastructure. For its data storage and management, Mercado Libre is a client of Amazon Web Services (AWS): it processes over 40 purchases per second across 18 countries and has migrated more than 5,000 databases to Amazon DynamoDB (AWS, 2021). As of 2024, it was using nearly a dozen services from the tech giant with which it had signed an agreement to reduce its data computing costs by 13% (AWS, 2024). The other two regional champions, both Brazilian in origin, also maintain strong ties with the BTs: the marketplace Magazine Luiza runs on Google Cloud; and the fully digital bank Nubank (of Nu Holdings) is an AWS client, has received investments from Warren Buffett, Tencent Holdings and Sequoia Capital, and many of its executives have worked at Google, Facebook, Amazon, and Alibaba. The following chart illustrates the stark imbalance in market value and profits between the GTO firms, other global tech giants, and two of Latin America's top champions, in descending order: Source: Own elaboration based on data from Forbes Global 2000 (2024).* Originally in Borrastero & Juncos (2024).** Magazine Luiza is not publicly traded.  Regional firms, in turn, capture data from countless Latin American users, acquire local start-ups, participate in scientific research networks, and work with governments to access tax and especially regulatory benefits—mechanisms that enable their gradual “giantization” (Borrastero & Juncos, 2024). In short, they are part of this kind of stratified oligopoly led by Big Tech, which tecnolatinas help sustain while securing their regional slice of the pie. Far from being a marginal arena, despite Latin America’s relatively low share in global cross-border data flows compared to Asia or Europe (UNCTAD, 2021), the region represents a key market to conquer. This includes sectors with crucial resources for Big Tech’s vertical integration strategies, such as lithium. For instance, Tesla is one of the main buyers of Arcadium Lithium, which operates in the salt flats of northern Argentina, and along with other tech moguls like Bill Gates, is planning new direct investments and investments in companies developing technologies related to extraction (such as Lake Resources, which works on reducing freshwater usage in lithium mining) (López King, 2025). Big Tech companies form true global ecosystems for resource capture and the monetization of informational assets, supported by states and firms across the globe. SYSTEMIC RISKS One of the main problems of the dynamics described so far is the deepening of the international division of learning which—already highly unequal—continues to grow at breakneck speed, while technological learning becomes increasingly fundamental to value creation, and peripheral states are less and less equipped to deal with ever-larger corporations. In this context, peripheral countries risk becoming mere providers of informational raw material for platforms developed in the global centers, and end up having to pay for the digital intelligence extracted from them. Meanwhile, industrial hyper-concentration makes it increasingly difficult for the market to address these structural issues on its own. Rent refers to income derived from control over a scarce and strategic asset. The oligopolistic control of such rent-generating assets by central countries drives an endogenous concentration of rent in the central regions, and the result, in terms of income distribution both between and within nations, is a deepening of inequality at all levels (UNCTAD, 2021; Milanovic, 2019; Torres and Ahumada, 2022). Another major issue stemming from the scale reached by dominant actors and the penetration of their digital infrastructures is how difficult it has become to reverse the technological path — in terms of how to generate and provide services in a different way, while maintaining the reach and quality. Just imagine, for example, trying to establish alternative global data traffic routes or to produce world-class AI for diagnosing and treating rare diseases, without at some point relying on the technological resources of the oligopoly. The key question is how societies across the globe can harness these accumulated technological capabilities for collective purposes, without depending so heavily on heteronormative political and market-driven decisions. The list of systemic risks is a long one, and there isn’t space here to delve into the broader political dimensions of the issue. But it is worth highlighting these two particular risks tied to the current techno-economic order, given their impact on the very possibility of building concrete alternatives. LOCAL INITIATIVE Latin America enjoys neither structural power (that is, the ability to shape the rules of the game in terms of production, finance, security, or the global control of knowledge and culture), nor relational power in relation to other regions with accumulated techno-productive capacities (the ability to influence other actors into doing something they otherwise wouldn’t, following Strange’s 1988 classification). This essay may lean more toward pessimism of the intellect than optimism of the will when it comes to the global order within which Latin America must forge a new place.  Yet it is clear that the continent holds bargaining potential, rooted in the fact that it remains a highly coveted region for all the reasons discussed above—and many more (including the fact that it is, for now, a territory free of military wars). In the context of a “divide and conquer” logic typical of today’s intensified inter-core battles, strategies of absolute alignment with any single power are far from the wisest. The global oligopolistic economy will only deepen Latin America’s peripheral status if countries in the region fail to adopt a solidary non-alignment—or poly-alignment—approach, one that allows them to consolidate minimum thresholds of technological sovereignty. From dependent adoption to sovereign adoption (deciding what and how to adopt in order to learn), and from there to emancipation (integrating and developing what is needed for the people’s well-being). In Brazil, multiple state-led projects are underway to develop a sovereign data economy in collaboration with small and medium-sized enterprises and the academic sector (Gonzalo & Borrastero, forthcoming), along with large-scale initiatives to build national tech and energy infrastructures by leveraging the techno-productive capabilities accumulated over decades by Petrobras, BNDES, the national research council, and public venture capital funds (Alami et al., 2025). Mexico and Colombia are currently undergoing political processes inspired by the ideals of a “common home” and the care of virtual lands, advocating for continental unity on the one hand and strict regulation of Big Tech on the other (BBC News Mundo, 2025; Forbes Central America, 2025; Government of Colombia, 2024; Colombian Presidency, 2025; Wired, 2025). Argentina has a range of digital development projects based on policy frameworks designed to autonomously leverage the productive capacity the country has accumulated since the 1940s (Gonzalo & Borrastero, 2023)—though these efforts have been obstructed by the pro-Trump government of Javier Milei. EPILOGUE As these lines are being written, stock markets around the globe are tumbling amid the tariff war unleashed by the United States, forcing everyone else to adjust. Even the “Magnificent Seven” (Google, Apple, Meta, Amazon, Microsoft, Nvidia, and Tesla) have lost billions in just a few days. This raises the question of whether we are witnessing the birth of a new international economic order. Whether this is a true turning point or merely another heightened episode in the ongoing geopolitical rivalry remains to be seen. What we can already observe, however, is that global control over strategic assets for development places the GTO and core economies in a structurally advantageous position to lead long-term value chains. At the same time, the polycrisis opens up opportunities for marginalized regions to seize the momentum and assert their own demands. In financial capitalism, not everything is determined in the marketplace, and amid widespread and persistent instability, self-determination remains, without a doubt, one of the most powerful antidotes. References Alami, I., DiCarlo, J., Rolf, S. & Schindler, S. (2025). The New Frontline. The US-China battle for control of global networks. In Transnational Institute, State of Power 2025. Geopolitics of Capitalism, Ch. 2.AWS (2024). Mercado Libre acelera el time to market con servicios de la nube de AWS. Amazon Web Services. Recuperado de: https://aws.amazon.com/es/solutions/case-studies/mercado-libre-migration/.AWS (2021). Mercado Libre escala su negocio y mejora su fiabilidad al migrar 5000 bases de datos a Amazon DynamoDB. Recuperado de: https://aws.amazon.com/es/solutions/case-studies/mercado-libre-dynamodb/.BBC News Mundo (2025). Plan México: cómo es el ambicioso proyecto de Claudia Sheinbaum para colocar a su país entre las 10 principales economías del mundo. BBC News Mundo, 15 Enero 2025. Recuperado de: https://www.bbc.com/mundo/articles/cre8ze0dvdno.Borrastero, C. (2024). Estado, empresas y factores geopolíticos en el sendero de desarrollo de las redes 5G en Argentina. Estudios Sociales del Estado, 10(19), pp. 104-138.Borrastero, C. y Juncos, I. (2024). El Oligopolio Tecnológico Global, la periferia digital y América Latina. Desarrollo Económico, 64(243), pp. 110-136.Business Research Insights (2025). Submarine Cable Market Size, Share, Growth and Industry Analysis, By Type        (Impregnated Paper Insulated Cable, Oil-filled Cable), By Application (Shallow Sea, Deep Sea), and Regional Insight and Forecast to 2033). Retrieved from: https://www.businessresearchinsights.com/market-reports/submarine-cable-market-121770Dussel Peters, E. (2022). Capitalismo con características chinas. Conceptos y desa-rrollo en la tercera década del siglo XXI. El Trimestre Económico, 89(354).Dussel Peters, E. (2021). Monitor de la OFDI China en América Latina y el Caribe 2021. Recuperado de: https://www.redalc-china.org/monitor/images/pdfs/menuprincipal /DusselPeters_MonitorOFDI_2021_Esp.pdfForbes Centroamérica (2025). Petro aboga por la colaboración entre países ante tensión entre multilateralismo y soledad. Forbes Centroamérica, 9 Abril 2025. Recuperado de: https://forbescentroamerica.com/2025/04/09/petro-aboga-por-la-colaboracion-entre-paises-ante-tension-entre-multilateralismo-y-soledad.Gartner (2024). Gartner Says Worldwide IaaS Public Cloud Services Revenue Grew 16.2% in 2023. Retrieved from: https://www.gartner.com/en/newsroom/press-releases/2024-07-22-gartner-says-worldwide-iaas-public-cloud-services-revenue-grew-16-point-2-percent-in-2023Gonzalo, M. y Borrastero, C. (2025). América Latina y la “Economía de datos”: definiciones, temas de agenda e implicancias de política, en Lastres, H. y Cassiolato, J. Economia Política de Dados e Soberania Digital: conceitos, desafios e experiências no mundo, ContraCorrente, en prensa.Gonzalo, M. y Borrastero, C. (2023). Misión 7 “Profundizar el avance de la digitalización escalando la estructura productiva y empresarial nacional”. En Argentina Productiva 2030 - Plan para el Desarrollo Productivo, Industrial y Tecnológico. Ministerio de Economía de la Nación, Argentina.Gooding, M. (2024). Gaia-X: Has Europe's grand digital infrastructure project hit the buffers?. Data Center Dynamics, May 13th 2024. Retrieved from: https://www.datacenterdynamics.com/en/analysis/gaia-x-has-europes-grand-digital-infrastructure-project-hit-the-buffers/Grynspan, R. (2023). Globalización dislocada: Prebisch, desbalances comerciales y el futuro de la economía global. Revista de la CEPAL, 141, 45-56.Gobierno de Colombia (2024). Estrategia Nacional Digital de Colombia 2023-2026. Recuperado de: https://www.mintic.gov.co/portal/715/articles-334120_recurso_1.pdf.Hung, K. (2025). Beyond Big Tech Geopolitics. Moving Towards Local and People-Centred Artificial Intelligence. In Transnational Institute, State of Power 2025. Geopolitics of Capitalism, Ch. 10.Kenji Starrs, S. (2025). Can China Challenge the US Empire?. In Transnational Institute, State of Power 2025. Geopolitics of Capitalism, Ch. 6.Lacort, J. (2021). Así es como gana dinero Amazon: cada vez más nube y un futuro de producciones audiovisuals. Xataka, 3 Febrero 2021. Recuperado de: https://www.xataka.com/empresas-y-economia/asi-como-gana-dinero-amazon-cada-vez-nube-futuro-producciones-audiovisuales-1López King. E. (2025). Litio: Argentina pudo unir a Elon Musk y a Bill Gates en una inversión clave en la que ambos coinciden. Litio.com.ar. Recuperado de: https://litio.com.ar/litio-argentina-pudo-unir-a-elon-musk-y-a-bill-gates-en-una-inversion-clave-en-la-que-ambos-coinciden/Mazzucato, M. (2013). The Entrepreneurial State: Debunking Public vs. Private Sector Myths. London: Anthem Press.Merino, G., Bilmes, J. y Barrenegoa, A. (2023). Economía en el (des)orden mundial: Ascenso de China, estancamiento del norte global y nuevo paradigma tecno-económico en disputa. Instituto Tricontinental de Investigación Social, Cuaderno 5.Milanovic, B. (2019). Capitalism, Alone. The Future of the System That Rules the World. Harvard University Press.Presidencia de Colombia (2025). Intervención del Presidente Gustavo Petro Urrego durante la plenaria IX Cumbre de Jefas y Jefes de Estado y Gobierno de la Comunidad de Estados Latinoamericanos y Caribeños (CELAC), Tegucigalpa, 9 de Abril de 2025. Recuperado de: https://www.facebook.com/watch/live/?ref=watch_permalink&v=1727297164867599Strange, S. (1988). States and Markets. An introduction to International Political Economy. Pinter Publishers, London.Torres, M. y Ahumada, J. M. (2022). Las relaciones centro-periferia en el siglo XXI. El Trimestre Económico, LXXXIX (1), 53, 151-195.Ugarteche, Ó. y De León, C. (2020). El financiamiento de China a América Latina. http://www.obela.org/analisis/el-financiamiento-de-china-a-ame¬rica-latina#:~:text=EnLatinoaméricaexisten4sucursales,en Brasil%2C Chile y PerúUNCTAD (2021). Digital Economy Report 2021. Cross-border data flows and development: For whom the data flow. Recuperado de https://unctad.org/publication/digital-economy-report-2021.Villasenin, L. (2021). Las oportunidades de América Latina en su relación con China en el siglo XXI. Interacción Sino-Iberoamericana / Sino-Iberoamerican Interaction, 1(1).Wainer, A. (2023). ¿Un puente al desarrollo? Cambios en el comercio de América Latina con Estados Unidos y China. Problemas del Desarrollo. Revista Latinoamericana de Economía, 54(213).Weber, I. & Qi, H. (2022). The state-constituted market economy: A conceptual framework for China’s state–market relations. Economics Department Working Paper Series, 319, University of Massachusetts Amherst.Wired (2025). Claudia Sheinbaum propone aumentar los impuestos a plataformas como Google, Netflix y Amazon en México. Wired.es, 17 Febrero 2025. Recuperado de: https://es.wired.com/articulos/claudia-sheinbaum-propone-aumentar-los-impuestos-a-plataformas-como-google-netflix-y-amazon-en-mexico.Zhang, Y. & Lustenberger, U. (2025). Balancing Protectionism and Innovation: The Future of the European Automotive Industry in the Age of Chinese Electric Vehicles. Singularity Academy Frontier Review, #20250219.

한국어로 읽기 Leer en español In Deutsch lesen Gap اقرأ بالعربية Lire en français Читать на русском The South China Sea (SCS) is a strategic region in international geopolitics and a hotspot of disputes involving sovereignty, economy, and security. This text analyzes the positions of two key actors in the region — China and the Philippines — whose growing tensions have been a defining factor in the evolution of the conflict. Located in Southeast Asia, the SCS borders China, Vietnam, the Philippines, Malaysia, Brunei, and Indonesia, and connects the Pacific to the Indian Ocean through the Strait of Malacca, one of the busiest maritime routes. Its wealth in fishery and energy resources has intensified disputes over the Pratas, Macclesfield, Paracel, and Spratly Archipelagos, which are claimed entirely or partially by China, the Philippines, Vietnam, and Malaysia. In this context, the SCS holds significant geopolitical importance. From the classical perspective of Alfred T. Mahan, maritime control is essential for a country to consolidate itself as a power, as it enables access to strategic resources, trade routes, and the projection of military power. Today, this remains a key factor of political, economic, and military influence in the macro-region that authors such as Ulises Granados (2022) refer to as the Indo-Asia-Pacific. On the other hand, from the perspective of critical geopolitics, the SCS conflict is a dispute rooted in the construction of geographic and political meanings. According to Gerard Toal, space is not fixed but rather a construction shaped by power relations and discourses. One example is its naming: China calls it the South Sea, the Philippines refer to it as the West Philippine Sea, and Vietnam calls it the East Sea. Each name not only reflects a territorial claim but also a geopolitical imaginary. Interests in the SCS date back to the late 19th and early 20th centuries, when Japan exerted control over some areas through the state and its corporations. However, after World War II, sovereignty over these territories remained undefined, leading to competing claims from neighboring countries. During the Cold War, the United States strengthened its alliance with the Philippines and other Southeast Asian nations to contain communism, while China consolidated its presence in areas like the Paracel Islands. This context has been key in shaping the current competition over the sea. The Chinese government claims sovereignty in the SCS based on historical precedents going back to the Han dynasty. Beijing argues it recovered the Spratly and Paracel Islands after World War II, invoking the Cairo Declaration (1943) and the Potsdam Declaration (1945), which called for the return of territories occupied by Japan. In 1958, China issued the Declaration on China’s Territorial Sea, incorporating the Pratas (Dongsha), Paracel (Xisha), Macclesfield (Zhongsha), and Spratly (Nansha) Islands into its sovereign territory. Later, in 2009, it reaffirmed its claim through the Nine-Dash Line (NDL), a delimitation drawn in 1947 that encompasses nearly 80% of the SCS. Although this line is not clearly defined in international law, Beijing maintains that it holds sovereign rights within it and that disputes should be resolved without intervention from extra-regional actors — a stance that contrasts with the Philippines’ actions, which have sought international support to strengthen their position. From China’s perspective, its claims in the SCS are essential to its sovereignty and national security. For this reason, it has increased its naval, paramilitary, and civilian presence. Maritime projection and control of trade routes are also key aspects of its strategy to advance initiatives such as the Belt and Road Initiative, which is fundamental to its regional and international economic growth. In contrast, the Philippines has claimed sovereignty over the Spratly Islands since the 1970s and has resorted to legal and media avenues to denounce China. In 1995, it protested China’s construction of structures on Mischief Reef, and in 1997, it stationed the Sierra Madre ship in the Spratlys. Today, the Philippine Navy maintains operations in the area. Moreover, in 2002, the Association of Southeast Asian Nations (ASEAN) and China signed the Declaration on the Conduct of Parties to promote the peaceful resolution of disputes. However, tensions escalated in 2009 when China reaffirmed the Nine-Dash Line. In response, in 2013, the Philippines brought the case before the Permanent Court of Arbitration (PCA), arguing that China was violating the 1982 United Nations Convention on the Law of the Sea and asserting its rights over exclusive economic zones. In 2016, the Permanent Court of Arbitration (PCA) ruled in favor of the Philippines, concluding that China's claims lacked legal basis under international law. However, China rejected the ruling, stating that it does not reflect its interpretation of territorial sovereignty based on its history and legal frameworks. Moreover, Beijing considered the Philippine complaint a unilateral action. In 2024, the Philippines enacted the “Maritime Zones Law” and the “Archipelagic Sea Lanes Act,” which define its maritime rights in the South China Sea. In response, China’s Ministry of Foreign Affairs rejected both laws, arguing they violate its sovereignty. From the Philippine perspective, China’s actions represent a challenge to its security, prompting it to seek support from ASEAN for a joint response in the SCS. However, the bloc’s positions are divided: the Philippines actively denounces China, Vietnam takes a more pragmatic approach, and Malaysia avoids confrontation. These differences have led ASEAN to adopt a moderate stance, prioritizing diplomacy over conflict. In summary, the Philippines is strengthening its alliance with the United States under the 1951 Mutual Defense Treaty, which ensures assistance in the event of an attack in the Pacific, including the SCS. This cooperation aligns with the U.S. geopolitical strategy in Asia, which has evolved from Obama’s “Asia Pivot” to the “Indo-Pacific” vision, focused on a “rules-based order” and the security of trade routes. However, the exclusion of China has led to perceptions that this strategy is a containment mechanism against the world’s second-largest economy. For example, China’s Foreign Minister Wang Yi argues that the U.S. strategy aims to “besiege and contain China” through alliances that promote confrontation. He also claims it undermines regional cooperation, while the Asian giant promotes a “community with a shared future in the Asia-Pacific” based on integration and stability. Thus, China employs the concept of the Asia-Pacific and, although it remains cautious in its rhetoric, insists that its approach prioritizes cooperation and avoids a bloc-based logic in the region. In this context, during Balikatan, a joint military exercise between the U.S. and the Philippines in April 2024, Washington deployed Typhon missile systems in the northern part of the country. By the end of the year, Manila expressed interest in acquiring them, which Beijing perceived as a threat. In 2025, Ferdinand Marcos Jr. stated he would reconsider the U.S. military presence if China ceased its territorial claims. China has not officially responded, and these remarks could be part of Philippine political rhetoric, reflecting its perception of threat in the region. Additionally, the Philippines has strengthened security cooperation with Japan, which also faces territorial disputes with China. In 2024, they signed a Reciprocal Access Agreement to facilitate military deployments, and Japan supported the modernization of the Philippine Navy. In 2025, both nations reaffirmed their commitment to a free and open Indo-Pacific. While Manila strengthens its position through strategic alliances, Beijing views this as an attempt to internationalize the conflict. Another point is that the Philippines’ approach varies depending on the administration in power. During Rodrigo Duterte’s presidency (2016–2022), Manila prioritized closer ties with Beijing, favoring economic cooperation. In contrast, the arrival of Ferdinand Marcos Jr. in 2022 strengthened the alliance with the United States, increasing defense and security cooperation, but also escalating tensions with China. On the other hand, while the U.S. has expanded its presence in the Asia-Pacific region, Trump’s first term (2017–2021) had a more isolationist approach compared to the Obama (2009–2017) and Biden (2021–2025) administrations. The Philippine government hopes to maintain the agreements reached in 2024, although their continuity will depend on how the new Trump administration (2025–) manages its Indo-Pacific strategy. Moreover, the Philippines cannot fully align with just one actor, as both China and the U.S. are essential to its economy. The United States is its main export market, according to the Philippine Statistics Authority, while China is its largest source of imported goods, top investor, infrastructure partner, and shares agreements such as the Regional Comprehensive Economic Partnership (RCEP). Therefore, while Manila strengthens its defense cooperation with the U.S. and maintains strategic interests in the South China Sea, its relationship with China remains crucial due to its economic importance. Final Considerations From a geopolitical perspective, cooperation between the Philippines and the United States seeks to counterbalance China's presence in the region, while China reinforces its position in the SCS for sovereignty and security reasons. In this context, the relationship between Manila and Washington, along with the stance of ASEAN members, will be decisive in the evolution of the conflict. Thus, the dispute in the South China Sea reflects a geopolitical competition between regional and extra-regional actors for control of strategic areas, where each defends its own interests. Although none of the parties appear to seek open conflict, increasing militarization and patrols have raised the risk of incidents that could escalate tensions. In this context, the future will depend on the willingness of actors to negotiate concessions, although the lack of consensus and divergent interests make a definitive solution unlikely in the short term. In this way, Alfred T. Mahan’s theories on maritime power remain relevant in the SCS, although their application is not absolute. Beyond the control of sea routes, the competition also unfolds through the construction of narratives by regional and external actors. The way these narratives shape alliances and perceptions will be key in defining power dynamics in the region.

한국어로 읽기 Leer en español In Deutsch lesen Gap اقرأ بالعربية Lire en français Читать на русском US tariffs on Indian goods will rise from 17% in 2023 to 26% in 2025. Yet the world's most populated country can see this aggressive US policy as an economic boon for three reasons: its low level of integration into the global market, its ‘Atmanirbhar Bharat’ policy of strategic autonomy and its position as an alternative to China. The United States is India's biggest customer. It accounts for 19% of India's exports. India considered itself relatively unaffected by the new US customs policy unveiled on April 2. US tariffs on Indian goods will rise from 17% in 2023 to 26% in 2025, if President Trump does not postpone the implementation date once again... This 26% figure is much lower than the duties imposed on other South-East Asian nations, which to some extent compete with Indian industry. Bangladesh, for example, has tariffs of 37%, Vietnam 46% and Thailand 36%. Certain key sectors of Indian industry, such as pharmaceuticals, are even exempt from additional duties. This exemption underlines the strategic importance of India's exports of generic medicines to the United States. A variable geometry customs strategy. India, which has no plans to retaliate, is confident of concluding a relatively advantageous agreement thanks to the bilateral negotiations that began in February 2025, following Indian Prime Minister Narendra Modi's visit to the United States. Indian reindustrialisation? Some see this new customs policy as an opportunity for India to reindustrialise, something it badly needs to boost employment. Over the years, India has lost its comparative advantage in certain sectors to other South and South-East Asian countries such as Bangladesh, Thailand and Vietnam. The latter face customs duties that are higher than India's, and that are rising faster. Is this likely to boost the competitiveness of these Indian industries? However, they would require long-term investment. India's industrial strategy has preferred to focus on more technologically advanced sectors, by introducing subsidies for the creation of production capacity through the Production Linkes Incentive (PLI) Scheme. The aim is to reduce dependence on imports and boost exports in priority sectors. The semi-conductor sector, for example, has benefited greatly, with the hope, among other things, of turning India into a manufacturing hub for these products. It hopes to attract €27 billion in foreign direct investment (FDI). The task will certainly be made more difficult by the protectionist policies of the United States. Re-industrialisation in India will require regulatory reforms and investment in infrastructure. Despite the substantial progress made in these areas, more remains to be done. In any case, for US protectionist policy to encourage the development of Indian industry, it would have to be stable, which does not seem to be the primary orientation of the current Trump administration. Weak integration into world trade India's participation in world trade in goods is modest given the size of its economy: in 2023, India's market share in world trade was 2%. Despite its growing trade surplus with the United States, India has been relatively unaffected by the rise in tariffs, partly because Indian imports account for only 3% of total US imports. Its economy, which is very little integrated into global value chains, will de facto be less severely affected by the new US customs policy.  Although its economy trades few goods with the rest of the world, India has a comparative advantage in the service sector, which accounts for almost half of its exports of goods and services. Yet services are largely unaffected by tariffs and remain outside the perimeter of the new US policy. Indian protectionism: "Atmanirbhar Bharat" The protectionist stance adopted by the United States may reinforce the Indian government's conviction that it is right for its economy to be only marginally integrated into world trade in goods. The Indian economy is not very open and its trade policy has long tended towards protectionism. The latest industrial policy plan, "Atmanirbhar Bharat" ("Self-sufficient India"), aims to promote both exports and the strategic autonomy of the Indian economy in a number of sectors, including pharmaceuticals, solar energy and electronics. Since the ‘Made in India’ programme, India's industrial policy has not sought to create growth through exports, but to attract foreign capital to create production capacity in India, mainly for the Indian market. Foreign direct investment (FDI) has risen sharply, albeit from a relatively low base: it stood at 45.15 billion dollars in 2013. By 2022, it will have risen to $83.6 billion. India, more than ever courted India is strengthening its strategic position on the international stage. Its economy was already attracting the attention of investors, thanks to its potential market of 1.4 billion consumers and its position as Asia's alternative to China. The erratic behaviour of the Trump administration makes any partnership with India even more desirable, particularly for Europeans. There is no doubt that the trade talks for an agreement between the European Union and India, that began in 2022 and were brought back to the forefront by the visit of the President of the European Commission to New Delhi in February 2025, will take on a new dimension in the eyes of the Europeans. India's current nationalist government has worked hard to ensure that India becomes a pivotal player in the international community. This leading role on the international stage is a significant electoral asset that should strengthen Narendra Modi's influence within the country.

한국어로 읽기 Leer en español In Deutsch lesen Gap اقرأ بالعربية Lire en français Читать на русском As the Middle East braces for another escalation of conflict, Tehran finds itself cornered by Donald Trump’s coercive diplomacy, facing the stark choice between strategic concession or regional confrontation. Donald Trump’s return to the presidency has reignited US–Iranian hostilities, transforming Yemen into a strategic flashpoint. His administration’s doctrine of militarised diplomacy, cloaked in zero-sum calculations, has elevated the Houthis from a peripheral proxy to a principal trigger for escalation. By explicitly linking Houthi missile fire to Iranian command, Trump has effectively nullified Tehran’s longstanding strategy of plausible deniability.  Historically, Iran’s use of proxies has relied on operating within a grey zone; projecting influence while avoiding direct confrontation. Trump’s return seeks to dismantle this strategic ambiguity, reclassifying all proxy activity as acts of Iranian statecraft. The US military has launched its most expansive campaign under United States Central Command (CENTCOM) against the Houthis since the Red Sea crisis began in late 2023, targeting ballistic missile infrastructure, drone depots, and senior leadership in Yemen. The operation, launched on 15 March, marked a strategic shift, following Trump’s re-designation of the Houthis as a Foreign Terrorist Organisation and his vow to “rain hell” on their positions if the attacks continued. Trump’s rhetoric has escalated accordingly, and he has warned: “Every shot fired by the Houthis will be looked upon, from this point forward, as being a shot fired from the weapons and leadership of Iran.”  This traps Tehran in a paradox: either abandon the Houthis, risking both reputational credibility and strategic depth, or absorb the full brunt of US retaliation. Neither option is strategically tenable. Recognising the stakes, Iran has reportedly urged the Houthis, via Omani intermediaries and back channel diplomacy in Tehran, to scale down their maritime attacks, particularly in the Red Sea. However, Houthi leadership has publicly dismissed such appeals, reaffirming their commitment to targeting Israeli shipping and rejecting external interference in their operational decisions. Their resistance is fuelled by ideological conviction, conflict-tested resilience, and an expanding sense of regional purpose.  Since the beginning of the recent Israel-Hamas conflict, and amid Hezbollah’s decline, Hamas’s isolation, and Syria’s collapse, the Houthis have emerged as Iran’s most assertive proxy. Their attacks on Red Sea shipping and missile strikes against Israel, while mostly intercepted, nonetheless embarrass Arab regimes and stretch Israeli and American defensive postures.  The renewed Gaza conflict, triggered by Israel’s March 2025 bombing that killed five Hamas leaders and over 400 civilians, according to the Gaza Health Ministry, has collapsed the fragile ceasefire and reignited a multifront war involving Hamas, Hezbollah, and the Houthis. With Gaza’s death toll now exceeding 50,000, Hamas frames its actions as part of a broader resistance to Israeli aggression. This development has galvanised regional anger and contributed to a broader mobilisation among Iran-aligned actors. Hezbollah has resumed intermittent rocket fire along the Lebanese border, while the Houthis, citing solidarity with Gaza, have intensified missile launches towards Israeli territory, including attempted strikes near Ben Gurion Airport, underscoring their expanding operational capacity and the symbolic coordination anchoring the Axis of Resistance.   Tehran’s influence may be weakening. The Houthis have repeatedly demonstrated a higher risk appetite, often acting beyond Iran’s preferred thresholds of escalation. This divergence complicates Tehran’s efforts to preserve plausible deniability while reaping the strategic dividends of proxy activism. The resulting imbalance reveals a deeper problem: Iran seeks the benefits of Houthi militancy without bearing the cost, an increasingly unsustainable equilibrium under Trump’s zero-tolerance posture.  Iran’s dilemma: no more deniability  According to the 2025 US Intelligence Community Threat Assessment, the Houthis continue to enhance their military capabilities through arms and dual-use technology imports from Russia and China. The smuggling of drone components through the Red Sea and the Omani-Yemeni border indicates a pattern of sustained logistical support. By dismantling Iran’s plausible deniability and publicly attributing every Houthi strike to Tehran, Washington seeks to force a binary: either Iran controls its proxies or accepts full strategic liability.  This exposes Tehran to a potential regional escalation that it is likely unprepared to navigate. The US narrative, amplified by Trump’s statements and CENTCOM’s operational tempo, collapses the operational gap between proxy and patron. This leaves Iran with shrinking room for strategic manoeuvre, particularly as it seeks to avoid direct conflict while preserving deterrent credibility. The Israeli Defence Forces (IDF) have already conducted cross-border raids into Yemen, and Israel is lobbying for expanded UN sanctions on Iran’s missile program.  Backchannel bargains: araghchi’s high-wire diplomacy  Amid growing domestic unrest, Iranian Foreign Minister Abbas Araghchi has reportedly been granted authority to pursue indirect negotiations with Washington. While Supreme Leader Khamenei maintains opposition to direct talks, the use of European and Omani channels offers Tehran a diplomatic off-ramp, though under immense diplomatic and political pressure. Araghchi, a veteran of the original Joint Comprehensive Plan of Action (JCPOA) talks, is viewed as more pragmatic than hardliners in the regime.  This opening follows Trump’s letter to Khamenei, demanding a new nuclear agreement within two months. The letter includes explicit demands: dismantle uranium enrichment, abandon missile development, and sever ties with regional proxies.   Iran’s nuclear posture remains opaque. The IAEA confirms Tehran has stockpiled enough 60 percent enriched uranium for multiple warheads if refined further. Yet, Iran insists its nuclear aims are peaceful. Semi-official sources suggest that continued Western escalation could prompt withdrawal from the Non-Proliferation Treaty.   Iran’s domestic pressures are compounding. The economy suffers under inflation, sanctions, and currency collapse. The unrest in Urmia during Nowruz—the Persian New Year celebrated on the spring equinox—driven by inter-ethnic Kurdish-Azeri tensions, underscore the regime’s waning ability to manage internal dissent. With state institutions weakened, and central authority increasingly concentrated in the hands of Khamenei, public disillusionment is deepening.  The squeeze on Iran: less room to manoeuvre  Iran’s ability to maintain the status quo is under unprecedented strain. Its decades-old strategy of “strategic patience” is becoming harder to sustain. Though Iran continues to nurture ties with China and Russia, and remains engaged with European interlocutors,these relationships no longer offer the same buffer. The European Union, constrained by Washington’s hard-line approach, lacks the independence to offer credible guarantees.  Meanwhile, Israel and Saudi Arabia remain resolute in preventing a nuclear-armed Iran. The Begin Doctrine, which justified Israel’s pre-emptive strikes on Iraq (1981) and Syria (2007), may resurface should diplomacy falter. The spectre of unilateral military action now shapes Tehran’s strategic calculus.  Regionally, Iran’s proxy entanglements are escalating. The synchronised attacks from the Houthis, Hamas, and Hezbollah are overstretching Israeli defences and fuelling calls in Tel Aviv for broader regional offensives. Israeli retaliation, paired with US military strikes, has intensified the risk of a wider conflagration. Arab regimes, especially the UAE and Saudi Arabia, fear being drawn into the fray, threatening their economic visions for 2030 and beyond.  Meanwhile the Palestinians remain largely abandoned, with no Arab state willing to absorb the population of Gaza as Trump toys with expulsion scenarios. This hard-line vision, absent regional consensus, risks igniting further instability across Jordan, Egypt, and the broader Arab world. Trump’s coercive diplomacy may satisfy tactical aims but alienates Arab publics, a recipe for internal backlash across fragile states.  Yet, abandoning its nuclear leverage is not politically viable for the Iranian regime. Any concessions must be matched by credible, enforceable guarantees—a lesson painfully learned from Trump’s unilateral exit from the JCPOA in 2018. Tehran may accept a phased or limited deal but will resist anything perceived as total capitulation.  In sum, Iran now faces a multidimensional siege: external coercion, proxy volatility, domestic instability, and ideological polarisation. Trump’s second term seeks to corner Tehran into submission, not negotiation. Yet, by collapsing the space between proxy action and state responsibility, Washington may provoke precisely what it seeks to prevent: a regional war with no clear exits. This article was published under a Creative Commons Licence. For proper attribution, please refer to the original source

한국어로 읽기 Leer en español In Deutsch lesen Gap اقرأ بالعربية Lire en français Читать на русском When U.S. President Donald Trump imposed sweeping new tariffs on imported goods on April 2, 2025 – upending global trade and sending markets into a tailspin – he presented the move as a response to a crisis. In an executive order released the same day, the White House said the move was necessary to address “the national emergency posed by the large and persistent trade deficit.” A trade deficit – when a country imports more than it exports – is often viewed as a problem. And yes, the U.S. trade deficit is both large and persistent. Yet, as an economist who has taught international finance at Boston University, the University of Chicago and Harvard, I maintain that far from a national emergency, this persistent deficit is actually a sign of America’s financial and technological dominance. The trade deficit is the flip side of an investment magnet A trade deficit sounds bad, but it is neither good nor bad. It doesn’t mean the U.S. is losing money. It simply means foreigners are sending the U.S. more goods than the U.S. is sending them. America is getting more cheap goods, and in return it is giving foreigners financial assets: dollars issued by the Federal Reserve, bonds from the U.S. government and American corporations, and stocks in newly created firms. That is, a trade deficit can only arise if foreigners invest more in the U.S. than Americans invest abroad. In other words, a country can only have a trade deficit if it also has an equally sized investment surplus. The U.S. is able to sustain a large trade deficit because so many foreigners are eager to invest here. Why? One major reason is the safety of the U.S. dollar. Around the world, from large corporations to ordinary households, the dollar is used for saving, trading and settling debts. As the world economy grows, so does foreigners’ demand for dollars and dollar-denominated assets, from cash to Treasury bills and corporate bonds. Because the dollar is so attractive, the Federal Reserve gets to mint extra cash for use abroad, and the U.S. government and American employers and families can borrow money at lower interest rates. Foreigners eagerly buy these U.S. financial assets, which enables Americans to consume and invest more than they ordinarily could. In return for our financial assets, we buy more German machines, Scotch whiskey, Chinese smartphones, Mexican steel and so on. Blaming foreigners for the trade deficit, therefore, is like blaming the bank for charging a low interest rate. We have a trade deficit because foreigners willingly charge us low interest rates – and we choose to spend that credit. US entrepreneurship attracts global capital – and fuels the deficit Another reason for foreigners’ steady demand for U.S. assets is American technological dominance: When aspiring entrepreneurs from around the world start new companies, they often decide to do so in Silicon Valley. Foreigners want to buy stocks and bonds in these new companies, again adding to the U.S. investment surplus. This strong demand for U.S. assets also explains why Trump’s last trade war in 2018 did little to close the trade deficit: Tariffs, by themselves, do nothing to reduce foreigners’ demand for U.S. dollars, stocks and bonds. If the investment surplus doesn’t change, the trade deficit cannot change. Instead, the U.S. dollar just appreciates, so that imports get cheaper, undoing the effect of the tariff on the size of the trade deficit. This is basic economics: You can’t have an investment surplus and a trade surplus at the same time, which is why it’s silly to call for both. It’s worth noting that no other country in the world enjoys a similarly sized investment surplus. If a normal country with a normal currency tries to print more money or issues more debt, its currency depreciates until its investment account – and its trade balance – goes back to something close to zero. America’s financial and technological dominance allows it to escape this dynamic. That doesn’t mean all tariffs are bad or all trade is automatically good. But it does mean that the U.S. trade deficit, poorly named though it is, does not signify failure. It is, instead, the consequence – and the privilege – of outsized American global influence. The president’s frenzied attacks on the nation’s trade deficit show he’s misreading a sign of American economic strength as a weakness. If the president really wants to eliminate the trade deficit, his best option is to rein in the federal budget deficit, which would naturally reduce capital inflows by raising domestic savings. Rather than reviving U.S. manufacturing, Trump’s extreme tariffs and erratic foreign policy are likely to instead scare off foreign investors altogether and undercut the dollar’s global role. That would indeed shrink the trade deficit – but only by eroding the very pillars of the country’s economic dominance, at a steep cost to American firms and families.

한국어로 읽기 Leer en español In Deutsch lesen Gap اقرأ بالعربية Lire en français Читать на русском Good morning, everyone. Forty-three years after the beginning of the Malvinas War, we gather once again as a nation to commemorate our veterans and those who fell in combat, under the proud gaze of their families, to whom I also extend this tribute. Today, we remember those Heroes who gave their lives for the Homeland, who are part of the pantheon of those who forged our history through their sacrifice. Today, we honor them by reaffirming, with genuine determination, Argentina’s claim to sovereignty over the Malvinas Islands, South Georgia, and South Sandwich Islands, as well as the surrounding maritime areas. Unfortunately, in recent decades, our sovereign claim over the islands has been directly or indirectly harmed by the economic and diplomatic decisions of the political caste. No one can take seriously the claim of a nation whose leadership is known worldwide for its corruption and incompetence, and for dragging Argentina into the arms of the world’s scum. A country that systematically impoverishes its land and sides with dictators and petty tyrants enters any diplomatic negotiation from a position of weakness. And if we add the disarmament and deliberate demonization of the Armed Forces, we had the perfect recipe for the Malvinas Islands to remain forever in foreign hands. The first step we must take, then, is to rise as a country in every sense — both materially and spiritually — and to reclaim the place in the international community that we should never have lost. And there is no other way to achieve this than by applying the ideas of liberty, both within our borders and beyond, by opening ourselves to international trade and adopting a foreign policy aligned with the free nations of the world. This is the first government in a long time that understands that a sovereign country must, first and foremost, be a prosperous country. Only then can we take the second step: to dignify our Armed Forces through the necessary investments that only a prosperous nation can afford. Growth is in vain if public spending is not reorganized, strengthening those areas in which the State should be involved and eliminating those that are unnecessary, because when the State assumes responsibilities that do not belong to it, it is always to the detriment of essential functions. Despite the political caste’s decades-long effort to convince us otherwise, Argentina needs a strong Armed Forces. They are essential to defend our vast territory from potential threats in a global context of growing uncertainty. They are also indispensable in any diplomatic discussion. In this regard, history is unforgiving: a strong country is a respected country. This does not mean that might makes right, but foreign policy cannot be conducted from a naïve and childish idealism either. For us, the Armed Forces are a source of pride. The time when they were undervalued has come to an end. Proof of this is that, on July 9 of last year, for the first time, more than 2,000 of our veterans led the military parade during the Independence Day celebrations, before a proud and grateful crowd for their actions in defense of the Homeland. That is also why we have just enacted a decree instructing the Ministry of Defense to grant the rank of Reserve Second Lieutenant to those Reserve Officer Candidate Soldiers who are veterans of the Malvinas War. This rank would have been granted to them upon completion of their military service, but it was left unfulfilled as they were discharged directly after the war ended. This is, simply put, about settling a debt with these Heroes — a debt that has been ignored for 43 years by successive governments and that we now intend to correct once and for all. Without all the above, any notion of sovereignty loses its meaning. Sovereignty is not about the State owning many companies, nor about financing the film industry, or second-rate concerts, or similar things. Believing that more State means more sovereignty is an Orwellian concept under which politics has historically tried to conceal its dirty dealings — resulting in a poor people enslaved by an omnipresent State. We, on the other hand, have come to reclaim that word, which until recently had been hijacked, and to restore the meaning it truly deserves. A sovereign people is a flourishing, vigorous, respectable people — and above all, a people proud of its Armed Forces. A nation like the one built by the generation of the 1880s, which, after a century of humiliation, we are rebuilding. As I’ve said on other occasions, we are not here to apply extravagant formulas, but rather to return to those strategies that once made us successful. And when it comes to sovereignty over the Malvinas, we have always made it clear that the most important vote is the one cast with feet. We hope that one day the people of the Malvinas will choose to vote with their feet — for us. That is why we seek to make Argentina such a powerful nation that they will prefer to be Argentine, and persuasion or deterrence won’t even be necessary to achieve it. That is why we have embarked on the path of liberation we are now walking — so that Argentina becomes the freest country in the world, once again has the highest GDP per capita on the planet, and inspires people around the world to dream of the Argentine dream. That is what this government understands by sovereignty. It is the standard by which we measure ourselves, and we will not settle for anything less. To conclude, on this second April 2nd that I experience as President, I want to once again reaffirm our unwavering claim over the Malvinas Islands, reinforcing our commitment to exhaust all diplomatic means within our reach so that they may return to Argentine hands. Finally, to the veterans, to their families, and to all those who wear the uniform in defense of the Homeland, I extend my eternal gratitude on behalf of all Argentines. May God bless the Argentine Republic, may the forces of heaven be with us! Long live freedom, damn it! Thank you very much! Long live the Homeland!

한국어로 읽기 Leer en español In Deutsch lesen Gap اقرأ بالعربية Lire en français Читать на русском This piece was originally published on March 11, 2025, by the Asia Program at the Foreign Policy Research Institute (FPRI). View the original publication on the FPRI website.https://www.fpri.org/article/2025/03/forceful-taiwan-reunification-chinas-targeted-military-and-civilian-military-measures/ Bottom Line China is systematically preparing for a forceful reunification campaign by redesigning and intensifying military and civilian-military measures such as military mobilization, amphibious capabilities, standardization of operations, and resource stockpiling. The People’s Liberation Army’s expanded and improved military exercises around Taiwan since August 2022 have been shifting toward more coercive and multi-domain operations to assert control over the region. These systematic and incremental military and civilian-military measures might provide China with the tools to successfully conduct a potential forceful reunification with Taiwan in the near future. For nearly a century, the People’s Republic of China (PRC) and Taiwan have largely avoided direct military confrontations across the Taiwan Strait. However, there have been four notable exceptions: the Taiwan Strait crises of 1954–55, 1958, 1995–96, and most recently, 2022–23. In the first three instances, the status quo was primarily restored following the crisis. However, recent events suggest worrying trends highlighting that Beijing is preparing for a forceful reunification with Taiwan. Chinese Communist Party (CCP) General Secretary Xi Jinping has already made reunification with Taiwan a part of his signature China Dream, announced during the 19th Party Congress meeting in 2017. However, this was not the first time Taiwan was featured prominently in speeches by top Chinese leaders. As political scientist Ketian Zhang highlights in her book China’s Gambit: The Calculus of Coercion, annexing Taiwan is considered a core interest of China, with official references to its significance appearing regularly since 2003. The most recent instance was Xi Jinping’s New Year’s speech on December 31, 2024, where he declared, “No one can stop the historical trend of reunification of the motherland” (誰也不能充實祖國統一的歷史大勢). But beyond rhetoric and political posturing, the Chinese People’s Liberation Army (PLA) has taken concrete measures over the past decade to advance Beijing’s reunification agenda. Since the COVID-19 pandemic, these measures have intensified, reinforcing China’s willingness to use force. This article highlights the PLA’s systematic and incremental military and civilian-military measures—capabilities that might provide China with the tools to successfully conduct a potential forceful reunification with Taiwan in the near future. These measures include changing the institutions and patterns of PLA mobilization, constructing and using civilian infrastructure in military exercises, and establishing a new status quo through increasingly coercive military exercises around Taiwan. They also include standardization of the PLA for greater efficiency, effectiveness, combat readiness, stockpiling resources, and re-enlisting veterans with specific skills. This article builds upon Oriana Skylar Mastro’s arguments in her piece “The Taiwan Temptation,” which contends that China’s expanding military capabilities and rising nationalism could drive Beijing to contemplate using force for reunification with Taiwan. It identifies granular military details, especially post-2020, but it doesn’t venture into arguments about the timing of the reunification, potential diplomatic backlash, or economic costs of the invasion. Recent Military-Civilian Measures Since 2015, the PRC has undertaken significant organizational, legal, and structural reforms to enhance the National Defense Mobilization System (NDMS) (國防動員系統). As China scholar Devin Thorne highlights in his recent testimony to the US-China Economic and Security Review Commission, NDMS enables the PRC to harness its political, economic, technological, cultural, social, and other civilian resources from peacetime to wartime. This helps China to address a wide range of threats, such as escalations on its border, domestic instabilities, natural disasters, and other crises. It also bolsters China’s military logistics. As Thorne highlights, the key developments include the enactment of the National Defense Transportation Law in 2017, the introduction of updated auditing and surveying data on natural resources protocols in 2018 and 2021, the establishment of new NDMS offices beginning in December 2022, the creation of a new type of highly trained and professional local militia force since 2021, and the enhancement of cross-militia training initiatives starting in 2024. The PLA can mobilize private and civilian resources through the NDMS during national emergencies. It highlights China’s determination to prepare for potential contingencies, including escalation activities on its borders with India, the Taiwan Strait, and the South China Sea. Lessons from the Russian-Ukrainian War and the Israeli-Palestinian conflict have further shaped these efforts. Once operational, the NDMS would ultimately allow the PRC to mobilize society and harness civilian and military resources more systematically and institutionally in case of a potential forceful reunification attempt with Taiwan. However, mobilizing resources and force is insufficient, as China would need to reach the other side of the Taiwan Strait during a potential escalation. Some scholars dismiss the idea that the PLA remains incapable of conducting amphibious operations at the scale needed to take control of Taiwan. Amphibious operations (landing assault) are one of the five most important campaigns (alongside anti-landing, island blockade, border area counter-attack, and counter–air-raid campaigns) discussed at length in the PLA’s first written doctrine on joint operations, Joint Campaign Outline, as operational requirements to take over Taiwan by force. Taiwan has 169,000 active military personnel, backed by 1.66 million reservists. As career naval officer Harlan Ullman explains, using the traditional three-to-one ratio of attackers to defenders taught at war colleges, the PLA would need to mobilize at least 507,000 soldiers. By extension, to cross the 106-kilometer-wide Taiwan Strait to conduct landing operations, China would need thousands of ships—far more than the current PLA Navy capabilities of 234 operating warships. However, China has long been working to mobilize its civilian infrastructure to support its military campaign. For instance, the PRC has emphasized the construction of roll-on/roll-off (RO-RO) (滾裝船) ships, which can use their power to set up ramps on docks or beaches to transport vehicles. Each RO–RO ship is estimated to carry at least three hundred vehicles and about fifteen hundred passengers. Since establishing the “strategic projection support ship fleets” in China’s major ship-building companies in 2012, the PLA has actively cooperated with local shipping companies to improve maritime “strategic delivery” capabilities by prioritizing the production of RO-RO ferries. According to naval strategist J. Michael Dahm, in January 2023, China had around thirty-one RO-RO ferries in operation. However, the Center for Strategic and International Studies pointed out that the mainland shipyards would deliver up to two hundred RO-RO ships in the four years from 2023 to 2026. Furthermore, the PLA has used these ferries in military exercises in the Taiwan Strait since 2019. For instance, the first fifteen-thousand-ton ferry, Bang Chui Dao RO-RO ship (棒槌島滾裝船), participated in an amphibious assault exercise in 2019. Since then, the PLA has conducted such military exercises regularly. In July 2020, the PLA experimented with launching amphibious assault craft from civilian ferries toward the beach rather than port facilities, and it conducted day and night exercises off the coast of Guangdong Province. August 2021 was the first time the PLA used a ten-thousand-ton–class civilian ferry ship to land military exercises. Furthermore, in August 2022, after then-Speaker of the House Nancy Pelosi visited Taiwan, six of these RO-RO ships, which are operated by the Bo Hai Ferry Group Company (渤海輪渡集團公司) and are affiliated with the PLA Maritime Militia 8th Transport Brigade (海上民兵第8運輸旅), headed south toward Xiamen—the closest point to Taiwan. The RO-RO ferries were used more frequently in cross-transportation military exercises in July and September 2023. Furthermore, it was also discovered in January 2025 that China is building at least five landing barges at the Guangzhou shipyard with unusually long road bridges that extend from the bow of the ship, which makes them relevant to amphibious landing operations. Although these vessels and barges are extremely susceptible to attacks from Taiwanese F-16s, warships, and submarines, they would be supported by the PLA Navy, PLA Air Force, and PLA Rocket Force. The Changing Nature of Coercion and Military Exercises around Taiwan On September 17, 2020, the Taiwanese Ministry of National Defense published its first real-time military update, documenting PLA incursions into Taiwan’s de facto air defense identification zone (ADIZ). As meticulously recorded by Ben Lewis and Gerald C. Brown, by January 2025, there had been approximately eight thousand PLA violations of the ADIZ, including multiple crossings of the median line. Notably, Chinese warplanes crossed the median line in 2019 for the first time since 1999. However, Nancy Pelosi’s August 2022 visit to Taiwan provided the PLA with a pretext to escalate its activities, culminating in multiple advanced military exercises conducted around Taiwan from all sides. Since August 2022, the PLA has conducted five large-scale military exercises around Taiwan. Most of them coincided with significant political events. For instance, the first military exercise in August 2022 followed Pelosi’s visit. This was succeeded by the inaugural PLA Joint Sword exercises in April 2023, coinciding with former Taiwanese President Tsai Ing-wen’s visit to the United States and her meeting with then-Speaker of the US House of Representatives Kevin McCarthy. Subsequent exercises included Joint Sword A in May 2024 and Joint Sword B in October 2024. These exercises aligned with the inauguration of President Lai Ching-te’s tenure and his National Day speech. The most recent military exercises, conducted in December 2024, were held shortly after President Lai Ching-te’s travels through the United States. Notably, President Lai did not engage with any major US leaders during his transit. However, the recent exercises display the opportunistic Chinese behavior of leveraging situations to establish a new normal through increasingly coercive activities in the Taiwan Strait. The Joint Sword A and B exercises and the December 2024 drills are particularly significant for understanding the evolution of China’s coercion pattern and the difference between China’s military posturing and its intentions in the Taiwan Strait. While the Joint Sword A and B drills were declared in advance and focused on anti-intervention and amphibious assault near Taiwan, recent December 2024 exercises intended to perform blockade, strategic deterrence, and anti-interventionism exercises. The latest exercises occurred across expanded locations like Fujian, Zhejiang, and the Western Pacific. Significantly, the December 2024 exercise, for the first time, witnessed all three of the PLA’s sea-facing theater commands—North, East, and South—jointly participating in an operation in the eastern waters of China, a key demand by the leadership to achieve multi-domain joint operations capabilities. Notably, these instances reveal that the Chinese leadership is keenly aware of the PLA’s pre-existing weaknesses, like amphibious assaults and anti-intervention operations, and has been pushing the PLA to address this gap gradually. They also leveraged elements of strategic deterrence and surprise while adhering to steps toward joint combat operations, a prerequisite for a forceful reunification. Geographically, these exercises extended beyond the Taiwan Strait to cover broader areas, including Fujian, Zhejiang, Shanghai, and the Western Pacific, indicating a shift toward controlling key maritime zones in the First Island Chain. Thus, with active participation from all major PLA services and the three sea-facing theater commands, and indulgence in numerous aspects of warfare targeted toward the PLA’s primary strategic direction—Taiwan—these exercises signalled a more nuanced and multi-layered operational focus. Multiple Standardizations within the PLA Over the past seven years, particularly in the post-pandemic period, China has prioritized comprehensive standardization of procedures with the PLA and its auxiliary support systems—non-combat systems and components that support and sustain military operations. PLA leadership has issued numerous directives to achieve uniformity across various domains, such as the construction of barracks, military equipment procurement, and the establishment of standardized military training grounds. These efforts are extended to standardizing resource allocation, engineering procurement, equipment support, logistical operations, medical services, communication infrastructure, cybersecurity systems, and intelligence gathering and analysis mechanisms. These initiatives highlight China’s attempt to enable standardization within the PLA’s military operations to enhance its overall efficiency, effectiveness, and combat readiness. Streamlining key processes, including operational logistics, equipment maintenance, and strategic communication networks, would help the PLA to accelerate achieving capabilities to perform multi-domain integrated joint operations. Standardization facilitates interoperability across services, theaters, and arms, resulting in seamless coordination among ground, naval, air, space, and cyber units. Developing these capabilities is a prerequisite for conducting multi-domain integrated joint operations, a requirement for forceful Taiwan reunification. They are also indicative of the PLA’s steps toward achieving operational readiness. It is particularly relevant in regional and near-regional escalations, such as those in the South China Sea and the Western Pacific Ocean, which could be possibilities during the Taiwan reunification campaign. Resource Stockpiling Resource stockpiling is an important indicator of a nation’s preparedness for a potential conflict. It involves the systematic accumulation of critical materials, energy reserves, food supplies, and industrial inputs essential during wartime. Such activities are often undertaken to ensure self-sufficiency, mitigate vulnerabilities, and maintain resilience in the face of potential embargoes, trade disruptions, or blockades. Agricultural economist Gustavo F.C. Ferreira highlights in his testimony to the US-China Economy and Security Review Commission that China has been significantly increasing its energy resource reserves, particularly coal, crude oil, and natural gas. The country has built an extensive storage capacity for crude oil, estimated to exceed 1.8 billion barrels, including strategic petroleum reserves and underground storage facilities. Additionally, he points out that China’s coal production has ramped up aggressively, with approval of expansion projects equivalent to the European Union’s annual coal production in just one year. He notes that beyond energy resources, the stockpiling extends to other critical areas such as food (grains and protein sources), strategic metals (rare earth, copper, and lithium), and technological components (semiconductors). These measures are supported by state policies to reduce China’s reliance on global markets and ensure continued operation during a conflict or escalation. Similarly, there are reports about China’s record 105.03-million-metric-ton import of soybeans in 2024. This marks a 6.5 percent increase from 2023. This surge is possibly due to China’s efforts to prepare for a contingency, particularly in anticipation of intensified trade tensions with the United States. Researcher Zongyuan Zoe Liu’s work highlights China’s strategies to shield its economy from potential Western sanctions by drawing lessons from sanctions imposed on Russia. She notes China’s attempt to increase economic and technological self-sufficiencies by immunizing its economy against sanctions and building financial resilience against potential sanctions by the United States. Re-enlistment of Veterans Since 2017, the PLA has notified several enlistment orders for veterans with specific skill sets. A key focus has been the integration of veterans into civil-military roles. This is supported by policies to re-enlist them in specialized units adhering to Xi’s stated and revealed military goals for the PLA. For instance, in the case of Taiwan-focused operations, the PLA’s re-enlistment efforts focus on operational readiness by re-enlisting veterans skilled in amphibious operations, cyber warfare, and missile systems. Since 2022, there has been an emphasis on integrating these veterans into critical roles, such as reserve forces, militia coordination, and rapid mobilization units. Beyond these six measures, several other developments—China’s heavy investment in dual-use infrastructure such as ports and airfields on the east coast, development of amphibious and airborne military capabilities like the large Type 075 landing ships and Y-20 aircraft, investment in offensive intelligence and cyber capabilities, deployment of strategic missile systems like the DF-15 and DF-21, training of the maritime militia with the PLA and their expansion to support the armed forces whenever required, and the integration of real-time battlefield awareness via the BeiDou navigation system—are additional factors to conclusively determine the PLA’s intention and readiness for a potential reunification campaign with Taiwan. Conclusion It is a political decision to pursue the reunification campaign. Western scholars dismiss such arguments on the basis of the PLA’s perceived lack of military preparedness and the significant economic costs China would incur during and after a reunification attempt. However, as this essay highlights, China is keenly aware of these considerations and is taking proactive steps to limit the fallout, if not eliminate it. This essay doesn’t argue whether China would attempt a forceful unification campaign or the cost of its campaign. Instead, it argues that through a combination of military and civilian measures, an effort has been made to address the possible critical vulnerabilities in military and economic sectors. The question remains about the PLA’s ability to execute and sustain complex cross-strait operations, especially after targeted military purges in 2023 and 2024. Every measure mentioned here can be seen in isolation and not as a part of a complex puzzle that indicates that the PLA is preparing to invade Taiwan. However, these measures involve systemic integration with military logistics, enabling rapid deployment and sustainability when required. A steady accumulation of capabilities indicates deliberate preparation for eventualities that may align with China’s political-military objectives across the Taiwan Strait.

한국어로 읽기 Leer en español In Deutsch lesen Gap اقرأ بالعربية Lire en français Читать на русском Abstract This paper departs from an assumption derived from Liberal Intergovernmentalism theory: Germany is a de facto leader of European integration processes and the European Union as an institution.The first part of the analysis explores priorities and their corresponding challenges for the new German CDU-led cabinet. It examines issues around the ongoing war in Ukraine, transatlantic relations, and outstanding questions about German-China cooperation.The second part looks at the recently proposed Security and Defence Union (SDU) project and its various challenges.In conclusion, it is suggested that Germany will likely dominate future defence efforts, the actual shape of which will also be determined by other players such as the US, Russia, China, Iran, Israel, India or Turkey.Key Words: Germany, Foreign Policy, EU, Geopolitics Introduction According to the Federal Election Commission, the German election on February 23 saw a record-breaking voter turnout of 82.5%. That's an increase from 76.6% in 2021 and the highest voter participation since unification in 1990.  With vote counting finished, preliminary results show that the conservative Christian Democratic Union (CDU), led by Chancellor candidate Friedrich Merz, and its sister Christian Social Union (CSU) won the election with 28.6% of the vote. (As of the writing of this paper, the coalition negotiations are in progress, and the new Merz-Lead government will likely be formed by Easter this Year).  Before we analyse the challenges ahead of Merz's Government, let us briefly note that Friedrich Merz belongs to the so-called 'Davos Crowd'. He regularly attends the World Economic Forum Meetings. Before fully dedicating himself to politics, Merz worked as a corporate lawyer and held a significant position at BlackRock, a leading global investment management firm. He served as the head of the supervisory board of BlackRock's German branch, a role that has drawn scrutiny due to BlackRock's CEO, Larry Fink, being a key figure at the WEF. By his critics, Merz is seen as a 'globalist puppet' who is likely to promote Agenda 2030-related policies and the Klaus Schwab Great Reset initiative at the expense of German citizens.   Challenges ahead of Germany and its new political leadership Under the new CDU-led Government, Germany will face significant international challenges in supporting Ukraine, managing US relations, and balancing China ties. - The war in Ukraine The ongoing war in Ukraine is a pressing issue, requiring Germany to sustain its support for Ukraine while managing its own energy security and economic interests. This involves coordinating with other EU and NATO members, which could be challenging given potential fatigue and differing national priorities.  The ongoing war in Ukraine, initiated by Russia's invasion in 2022, remains a critical challenge for Germany. The new CDU-led Government must sustain this support amidst potential fatigue and economic pressures. It goes without saying that the war has disrupted energy supplies, with Germany suspending the Nord Stream 2 pipeline and facing higher energy costs. The CDU, under Merz, has advocated for a strong stance against Russia. Still, challenges include maintaining EU unity, especially with some member states favouring dialogue with Moscow, and managing domestic economic impacts, such as inflation and cost-of-living pressures. This support towards sustained support to sanctions against Russia seems necessary, but it may strain Germany's resources and require coordination with NATO and EU partners. - Navigating Transatlantic Relations Germany's relationship with the United States, mainly through NATO, is vital for its security and economic interests. Even before the Trump election, German experts were ready to address the incoming challenges.  Trump's opposition to previous policies, such as climate commitments and trade agreements, has led to tensions. Traditionally aligned with the US, the CDU knew the need to balance cooperation on security issues, such as defence spending, with potential trade and climate policy disagreements. This challenge is compounded by the need to prepare for a world where Germany must pay more for its security, especially given the war in Ukraine.  Today, Germans are painfully aware that the relations with the United States are crucial, especially given that Trump's presidency has already led to tensions over trade and security policies. Germany seems willing to balance cooperation with the US while asserting its interests and those of the EU. This will be complicated due to conflicting interests regarding trade and the economy. Trump is expected to continue his protectionist policies, imposing tariffs on German goods like cars to address the trade deficit. This will likely lead to retaliatory measures from Germany and the EU, straining economic ties.  In fact, the European Commission already declared it would impose "countermeasures" from April 1 in response to US tariffs of 25 per cent on steel and aluminium imports.   Regarding defence and security - Trump will likely pressure Germany to increase defence spending, possibly threatening to reduce US troops in Germany, as he did in his first term by announcing a withdrawal of 12,000 troops (later reversed by Biden). This could push Germany to enhance its defence capabilities and meet NATO targets.  As for climate change and energy - Trump's scepticism towards climate agreements, such as the Paris Accord, will likely continue, clashing with Germany's leadership in renewable energy and its goal to phase out coal by 2038 at the latest.   Finally, there is the question of foreign policy, especially Russia and Ukraine - Trump's potential alignment with Russia could complicate Germany's position, particularly given its significant support for Ukraine. Reports suggest Trump might cut Ukraine out of negotiations with Russia, forcing Germany to take a more independent stance.   - Balancing Economic Relations with China Germany's economic ties with China are significant, with China being a primary export market and investment partner. However, the new German Government faces the challenge of addressing security and human rights concerns, such as intellectual property theft and China's assertive foreign policy. The CDU-lead coalition may push for greater diversification of supply chains and stricter regulations, as suggested by recent analyses.   This balancing act is crucial, as economic dependence on China could limit Germany's ability to take a firm stance on delicate issues regarding human rights. The challenge is maintaining economic benefits while mitigating risks, potentially through EU-level coordination and bilateral agreements, which could create diplomatic pressures and affect Germany's global trade position. Economic ties and the challenge of de-risking. Germany has deep economic ties with China, with significant trade and investment flows, particularly in the automotive and manufacturing sectors. However, the new government will face the challenge of reducing economic dependence, as outlined in the CDU's election platform, which calls for "reducing reliance on China".  This is driven by concerns over supply chain vulnerabilities, as seen in the CDU's criticism of previous decisions like allowing a Chinese state-owned company to invest in Hamburg's port.  The challenge lies in implementing de-risking strategies without triggering economic repercussions, such as reduced exports or investment pullbacks. Recent statements from Merz, such as warning German firms about the "great risk" of investing in China, indicate a stricter stance. Still, experts question whether this rhetoric will translate into firm policy, given the economic interests at stake.   Security concerns and strategic competition are at the forefront - Friedrich Merz recently grouped China with Russia, North Korea, and Iran in an "axis of autocracies," highlighting perceived threats to German and European security.  The CDU's position paper, adopted around Easter 2023, states that the idea of peace through economic cooperation "has failed with regard to Russia, but increasingly also China," signalling a shift toward a more security-focused approach.  This includes addressing issues like technology transfer, intellectual property theft, and cybersecurity, which could strain bilateral relations. The challenge is strengthening defence and economic security measures without escalating tensions, particularly as China's military capabilities grow. Merz's focus on European strategic autonomy, especially in light of US policy shifts under Donald Trump, may lead to increased cooperation with EU partners in China. Human rights and values-based diplomacy are important for the incoming CDU-led government. Therefore, it is likely to take a firmer stance on human rights issues, reflecting the CDU's emphasis on preserving the rule-based international order.  Merz has consistently called China "an increasing threat to [German] security," suggesting a values-based approach that could lead to diplomatic tensions.  The challenge is maintaining constructive engagement while addressing these issues, especially as China has offered a "stable, constructive partnership" post-election, seeking to inject "new vitality" into China-EU relations. Balancing economic interests with values-based diplomacy will be a key test for Merz's government.  As for the coordination with EU partners, Germany's China policy should probably align with the EU's broader strategy, which has shifted toward de-risking under the European Commission. This requires coordination with other member states, some of whom may prioritise economic ties over security concerns, creating potential friction. The challenge is to ensure a united EU front, particularly in trade negotiations and investment screening, where Germany's leadership will be crucial. Merz's advocacy for improved coordination with major European allies such as France and Poland suggests focusing on EU unity. However, coalition dynamics, potentially involving the dovish Social Democrats, could dilute this approach.  Compared to Angela Merkel's pragmatic approach and Olaf Scholz's cautious stance, Merz's leadership is expected to mark a "Zeitenwende" or turning point, with a more critical and security-focused China policy.  However, the extent of change depends on coalition dynamics, with potential partners like the SPD possibly moderating his approach, creating tension between rhetoric and policy implementation. The EU as a security actor This section of the paper outlines the significant challenges ahead for the EU, considering Germany's influence and the broader geopolitical landscape, especially regarding the future EU defence cooperation and its potential relations with NATO. According to German experts and policymakers, The EU must maintain unity in supporting Ukraine amid Russia's ongoing invasion. Under the CDU, Germany will most likely continue its policy in this regard, providing military aid and economic support. According to the Federal Foreign Office, the German Government has, since the start of the war, made available around 43.62 billion euros in bilateral support for Ukraine (as of 31 December 2024); this aid includes the critical area of air defence, a substantial winter assistance programme and energy assistance, help for those who have fled Ukraine, humanitarian aid, mine clearance operations and assistance with efforts to investigate and document war crimes. Furthermore, Ukraine and Germany signed a bilateral agreement on security cooperation on 16 February 2024.  European Army The former Chancellor, Olaf Scholz, at Charles University in Prague on 24 August 2022, recently elaborated on German leadership's vision regarding the Europen defence efforts. His presentation paints a broad picture of the future of the EU at the beginning of the 3rd decade of the 21st century against the backdrop of the Russian invasion of Ukraine. Among the four 'revolutionary' ideas mentioned by Scholz, two stand out in particular. Firstly, given the further enlargement of the European Union for up to potentially 35 states, a transition is urged to majority voting in Common Foreign and Security Policy. Secondly, regarding European sovereignty, the German Chancellor asserts that Europeans grow more autonomous in all fields, assume greater responsibility for their security, work more closely together, and stand yet more united to defend their values and interests worldwide. In practical terms, Scholz indicates the need for one command and control structure for European defence efforts.   The German leadership is not always openly claimed, at least verbally. Instead, the German National Security Strategy of 2023 mentions Germany's 'special responsibility' for peace, security, prosperity, and stability and the Federal Government's 'special responsibility' for establishing the EU Rapid Deployment Capacity.   In the same vein, German leadership posits their country as a leader in European Security, declaring the importance of becoming the 'best equipped armed force' in Europe.  Former Chancellor Scholz would, however, make it an open claim at times: "As the most populous nation with the greatest economic power and a country in the centre of the continent, our army must become the cornerstone of conventional defence in Europe, the best-equipped force".  The re-entrance of Trump into global politics only reinvigorated German calls for stronger defence cooperation. Amid a drive to shore up support for Ukraine after Donald Trump halted US military aid and intelligence sharing, European leaders held emergency talks in Brussels (6 March 2025). They agreed (Hungary did not support the document) on a massive increase in defence spending. According to the European Council's Conclusions, the European Commission is to propose a new EU instrument to provide Member States with loans backed by the EU budget of up to EUR 150 billion.  Apart from that, the document mentions several other instruments that are supposed to enhance Europe's defence capabilities: additional funding sources, new EU instrument for loans, support from the European Investment Bank (EIB), mobilising private financing, priority areas for defence capabilities (air and missile defence; artillery systems, including deep precision strike capabilities; missiles and ammunition; drones and anti-drone systems; strategic enablers, including in relation to space and critical infrastructure protection; military mobility; cyber; artificial intelligence and electronic warfare), joint procurement and standardisation, simplification of legal frameworks and finally coordination with NATO. Overall, Ursula von der Leyen, the President of the European Commission, presented a plan worth EUR 800 billion to increase European defence spending against the backdrop of the Russian invasion of Ukraine.  Will it be enough to create actual European defence capabilities, finally? Time will show. Europeans have been talking about common European defence for decades. So far, most of their achievements fall short of lofty political declarations.  Consequently, on March 19 this year, the European Commission unveiled the Joint White Paper for European Defence 2030.  (White papers are policy documents produced by the Governments that set out their proposals for future legislation.) Accordingly, the 22-page-long document consists of numerous 'bold' ideas to advance European defence cooperation toward a European Army. The key threats to European Security include correspondingly: military aggression from Russia, strategic competition (there is increasing strategic competition in Europe's wider neighbourhood, from the Arctic to the Baltic to the Middle East and North Africa), transnational challenges (issues such as rapid technological change, migration, and climate change are seen as serious stressors on political and economic systems), actions of authoritarian states (countries like China are asserting their influence in Europe and its economy, posing a strategic challenge due to their authoritarian governance style), hybrid threats (these include cyber-attacks, disinformation campaigns, and the weaponisation of migration. The document notes that these threats are interconnected and increasingly prevalent), geopolitical rivalries (ongoing geopolitical tensions in various regions, particularly in the Middle East and Africa, are highlighted as contributing to instability that directly affects Europe) and last but not least instability from neighboring Regions (proximity to conflict zones, especially in North Africa and the Middle East, leads to spillover effects such as migration and economic insecurity).  Notably, at the very beginning of the document, the EC makes an unequivocal statement: "The future of Ukraine is fundamental to the future of Europe as a whole. Since 2022, we have seen a full-scale, high-intensity war on the borders of the European Union with hundreds of thousands of casualties, mass population displacement, huge economic costs and deliberate destruction of vital energy systems and cultural heritage. The outcome of that war will be a determinative factor in our collective future for decades ahead". The document proposes several measures to support Ukraine amid its ongoing conflict, mainly through a "Porcupine strategy" to enhance Ukraine's defence and security capacity. The "Porcupine strategy" includes elements such as:  Increased Military Assistance - The EU and its Member States should significantly step up military and other assistance to Ukraine (providing large-calibre artillery ammunition with a target of delivering a minimum of 2 million rounds per year, supplying air defence systems, missiles (including deep precision strikes), and drones, supporting Ukraine's procurement of drones and further developing its production capacity through joint ventures with European industries and training and equipping Ukrainian brigades and supporting the regeneration of battalions). Direct Support to Ukraine's Defense Industry (the document emphasises the importance of directly supporting Ukraine's defence industry (encouraging EU Member States to procure directly from Ukraine's defence industry for donations to Ukraine and utilising EU loans to boost Ukraine's defence industry spending, estimated to reach around EUR 35 billion in productive capacity by 2025). Enhanced Military Mobility (the EU aims to improve military mobility corridors extending into Ukraine, facilitating smoother deliveries of military assistance and enhancing interoperability). Access to EU Space Assets (Ukraine should have enhanced access to EU space-based governmental services, which would aid in its defence capabilities). Coordination of Military Support (the EU Military Staff Clearing House Cell will coordinate military support for Ukraine, enhancing collaboration with NATO and other partners). Integration of Ukraine into EU Defense Initiatives (the document proposes integrating Ukraine's defence industry into EU initiatives and encouraging its participation in collaborative defence projects. Conclusion A 'Security and Defence Union' (SDU) has been recently proposed as a new institutional form of military cooperation among EU Members.  It is suggested that the SDU includes the UK, and given the special attention paid to Ukraine in the White Paper, it is logical to surmise that it (Ukraine) will also be a de facto member. The devil lies in details, however, and so financially speaking, Europeans have to address numerous challenges. For example, the European Defence Fund (EDF) details Euro 8 billion over 7 years (approx. Euro 1.12 billion/year), supports R&D, and has committed Euro 5.4 billion since May 2021.        Meeting these ambitious goals will be especially challenging given the funding constraints (EU instruments like EDF and EDIP have limited impact; EDIP at €750 million/year is less than 1% of €90 billion 2024 procurement, needs €9 billion/year for 10% impact), capability and industry gaps (post-Cold War cuts left significant gaps, needing €160 billion by 2018 if 2008 levels maintained, €1.1 trillion if all spent 2% GDP 2006-2020), political and partnership issues (US scepticism, especially under second Trump administration, makes EU states cautious), policy integration (balancing security and economic priorities).  Against this backdrop, Germany claims to rise to the occasion and take the leading role, passing a new defence budget, referred to by media as 'bazooka'.  A massive increase in military spending is paralleled by another military aid package to Ukraine (The €3 billion package approved by the Bundestag Budget Committee comes on top of the €4 billion in military aid to Ukraine already planned in the 2025 budget).  Where does it leave NATO? Much depends on Trump's vision of the future of European Security, his administration's bilateral relations with Germany, and most importantly, the global chessboard attended by players such as Russia, China, Iran, Israel, India and Turkey. References   Zeier, Kristin, and Gianna-Carina Grün. “German Election Results Explained in Graphics.” DW, February 27, 2025. https://www.dw.com/en/german-election-results-explained-in-graphics/a-71724186.   Hasselbach, Christoph. “German government coalition: Can CDU, SPD come together?”. DW, 3 March, 2025. https://www.dw.com/en/german-government-coalition-can-cdu-spd-come-together/a-71850823   Hasselbach, Christoph. “German foreign policy: Crisis mode to continue in 2025”. DW, 26 December 2024. https://www.dw.com/en/german-foreign-policy-crisis-mode-to-continue-in-2025/a-71092683   Paternoster, Tamisin. “How Germany's car industry is bracing for Donald Trump's tariffs”. Euronews. 7 March, 2025. https://www.euronews.com/business/2025/03/07/how-germanys-car-industry-is-bracing-for-donald-trumps-tariffs   France24. “EU hits back with countermeasures against Trump's ‘unjustified’ steel tariffs”, 12 March 2025. https://www.france24.com/en/europe/20250312-eu-hits-back-countermeasures-trump-unjustified-steel-tariffs-europe-commission   TVP World, “Trump mulls withdrawing U.S. troops from Germany, The Telegraph reports”. 8 March, 2025. https://tvpworld.com/85487959/trump-considering-withdrawing-us-troops-from-germany-the-telegraph-reports   Twidale, Susanna. “German coal power phase-out likely before 2038 due to economics, says climate envoy”. Reuters, 25 June, 2024. https://www.reuters.com/business/environment/german-coal-power-phase-out-likely-before-2038-due-economics-says-climate-envoy-2024-06-24/   Tankersley, Jim and F. Schuetze, Christopher. “Shocked by Trump, Europe Turns Its Hopes to Germany’s Election”. The New York Times, 23 February, 2024. https://www.nytimes.com/2025/02/22/world/europe/germany-election-trump.html    Chaney, Eric. “What Challenges is Germany Facing?”. Institut Montaigne. https://www.institutmontaigne.org/en/expressions/what-challenges-germany-facing   Alkousaa, Riham. “Germany election: what are the policies of the CDU conservatives”. Reuters, 25 February 2025. https://www.reuters.com/world/europe/policies-german-election-favourites-cdu-conservatives-2025-02-18/   South China Morning Post. “Will Merz’s tough talk on China fizzle out if he becomes leader of Germany?” https://www.scmp.com/news/china/diplomacy/article/3292397/will-merzs-tough-talk-china-fizzle-out-if-he-becomes-leader-germany   Rhodium Group, “Wind of Change: German China Policy After the Election – Rhodium Group.” 12 February 2025. https://rhg.com/research/wind-of-change-german-china-policy-after-the-election/   Rhodium Group, “Wind of Change: German China… op.cit.  Rinaldi, Gabriel. “German Christian Democrats rewrite Merkel’s China playbook”. Politico. 26 March 2023. https://www.politico.eu/article/german-christian-democrats-to-overturn-angela-merkels-china-policy/   Radunski, Michael. “German conservatives call for China policy Zeitenwende • Table.Media.” Table Briefings. 19 March 2023. https://table.media/en/china/feature/union-calls-for-china-policy-turnaround/   South China Morning Post. “Will Merz’s tough talk on China fizzle out if he becomes leader of Germany? | South China Morning Post. https://www.scmp.com/news/china/diplomacy/article/3292397/will-merzs-tough-talk-china-fizzle-out-if-he-becomes-leader-germany   South China Morning Post. “China offers ‘stable, constructive’ partnership with Germany after Friedrich Merz’s election win.” https://www.scmp.com/news/china/diplomacy/article/3299946/china-offers-stable-constructive-partnership-germany-after-friedrich-merzs-election-win   Verhelst, Koen. “Friedrich Merz wants to lead Europe on the economy. Can he?” POLITICO. 19 February, 2025. https://www.politico.eu/article/friedrich-merz-wants-to-lead-europe-on-the-economy-can-he/   Rinaldi, Gabriel. “German Christian Democrats… op.cit.  Federal Foreign Office, “Germany continues to stand with Ukraine – the third anniversary of Russia’s full-scale invasion”. https://www.auswaertiges-amt.de/en/aussenpolitik/laenderinformationen/ukraine-node/ukraine-solidarity-2513994   The Federal Government (2022) Speech By Federal Chancellor Olaf Scholz at The Charles University In Prague On Monday, August 29 2022. https://www.bundesregierung.de/breg-en/news/scholz-speech-prague-charles-university-2080752   National Security Strategy. Robust. Resilient. Sustainable.  Integrated Security for Germany (2023). Federal Foreign Office, Werderscher Markt 1, 10117 Berlin. https://www.nationalesicherheitsstrategie.de/National-Security-Strategy-EN.pdf   “Germany must become 'the best equipped armed force in Europe', Scholz says.” Euronews, September 16, 2022. https://www.euronews.com/my-europe/2022/09/16/germany-must-become-the-best-equipped-armed-force-in-europe-scholz-says   “Germany must become 'the best equipped armed force in Europe', Scholz says”, Euronews, 16 September, 2022. https://www.euronews.com/my-europe/2022/09/16/germany-must-become-the-best-equipped-armed-force-in-europe-scholz-says   European Council. "Conclusions – 6 March 2025." EUCO 6/25. Brussels: General Secretariat of the Council, March 6, 2025. https://www.consilium.europa.eu/en/press/press-releases/2025/03/06/special-european-council-6-march-2025/   See more at: https://www.theguardian.com/world/2025/mar/06/watershed-moment-eu-leaders-close-to-agreeing-800bn-defence-plan-ukraine   The European Intervention Initiative (EI2) is a joint military project between 13 European countries outside of existing structures, such as the North Atlantic Treaty Organization (NATO) and the European Union's (EU) defence arm. The Initiative was first proposed by French President Emmanuel Macron in his Sorbonne keynote in September 2017. ASee more at: https://archives.defense.gouv.fr/content/download/535740/9215739/file/LOI_IEI%2025%20JUN%202018.pdf   A week before on 12th of March 2025 European Parliament adopted a ‘resolution on the ehite paper on the future of European defence’ which includes 89 points. See more at: https://www.europarl.europa.eu/doceo/document/TA-10-2025-0034_EN.html   European Commission, High Representative of the Union for Foreign Affairs and Security Policy. "Joint White Paper for European Defence Readiness 2030." Brussels, March 19, 2025. JOIN(2025) 120 final. https://defence-industryspace.ec.europa.eu/document/download/30b50d2c-49aa-4250-9ca6-27a0347cf009_en?filename=White%20Paper.pdf   See more at: https://www.eeas.europa.eu/node/34278_en   See more at: https://defence-industry-space.ec.europa.eu/eu-defence-industry/european-defence-fund-edf-official-webpage-european-commission_en   See more at: https://www.cer.eu/publications/archive/policy-brief/2025/towards-eu-defence-union   See more at: https://commission.europa.eu/topics/defence/future-european-defence_en   “Germany's historic spending plan has passed - so what is the money going to be spent on?”, The Journal, 22 March 2025. https://www.thejournal.ie/germany-spending-plan-explainer-6656255-Mar2025/   Sexton Karl and  Hubenko Dmytro, “Germany approves $3 billion in military aid for Ukraine”. DW, 21 March 2025. https://www.dw.com/en/germany-approves-3-billion-in-military-aid-for-ukraine/a-72001265

한국어로 읽기 Leer en español In Deutsch lesen Gap اقرأ بالعربية Lire en français Читать на русском Introduction The Ansar Allah "Houthis" group announced the resumption of its ban on Israeli ships passing through the Bab el-Mandeb Strait on Tuesday, March 11, 2025, following the expiration of the deadline it had given Israel to allow humanitarian aid into the Gaza Strip. This was stated in a recorded speech by the group's military spokesperson, Yahya Saree, posted on his account on the X platform, where he declared that their forces "confirm the resumption of the ban on all Israeli ships in the designated operational areas in the Red Sea, the Arabian Sea, Bab el-Mandeb, and the Gulf of Aden, following the expiration of the deadline granted by the group's leader, Abdul Malik al-Houthi, to mediators to pressure the Israeli enemy into reopening the crossings and allowing aid into the Gaza Strip." In response, U.S. Secretary of  Defense Pete Hegseth vowed on Sunday, March 16, 2025, that the United States would carry out "relentless" strikes against the Houthi rebels in Yemen until the group ceases its military operations targeting American assets and global shipping routes. In this context, Houthi-affiliated media outlets reported on Sunday, 16March 2024, that approximately 40 American airstrikes on the capital, Sanaa, as well as Saada and Al-Bayda, resulted in a preliminary toll of 32 casualties and over a hundred injuries. These operations take place amid escalating tensions between Washington and Tehran and signs that U.S. strikes are focused on the tactical deterrence of the Houthis, making them part of a broader American strategy aimed at containing Iranian influence. This escalation coincides with the collapse of the ceasefire agreement in Gaza, reinforcing the possibility that the region may be heading toward a new phase of entangled military confrontations. This paper examines the objectives and messages underlying this military campaign, focusing on the prospects of continued escalation between the United States and the Houthis and the possibility of it extending into a direct confrontation with Iran. It also seeks to answer a critical question: Will Washington succeed in deterring the Houthis through these operations, or will this strategy lead to a greater escalation that could involve a broader confrontation with Iran? This is especially relevant given the growing indications that Israel is intensifying pressure on the United States to push it toward direct conflict with Tehran. Amid the complexities of the regional landscape, the paper considers the strategic dimensions of these operations, including U.S. messaging toward Iran, Israel’s efforts to expand the scope of confrontation, and the role of international allies in shaping the escalation pathways. It also explores possible scenarios for future developments, ranging from continued limited strikes to the potential outbreak of a large-scale regional confrontation. From this perspective, the paper will highlight the key American messages and underlying objectives of this military campaign, which should be taken into account when discussing the primary goals of this campaign at this critical juncture. These can be interpreted as follows: American Messages; During his first term, U.S. President Donald Trump adopted a "maximum pressure" policy on Iran, which manifested in the imposition of a broad set of economic sanctions that significantly impacted the Iranian economy, along with the U.S. withdrawal from the Iran nuclear deal on May 8, 2018. Continuing this approach, Trump reaffirmed his hardline stance on Iran's nuclear program even before officially assuming office again in January 2025. Since announcing his candidacy for the presidential elections in July 2024, he has emphasized the need for a "new nuclear deal" with Iran. On September 26, 2024, he stated: "We must reach an agreement, because the consequences are impossible. We must reach an agreement." As part of his escalating position toward Tehran, upon taking office, Trump signed a presidential memorandum on February 5, 2025, reinstating the maximum pressure policy on the Iranian government, aiming to block Tehran’s path to acquiring a nuclear weapon and counter its destabilizing influence abroad, according to a White House statement at the time. In a further escalation against what is known as Iran’s "proxies" in the region, the United States launched large-scale airstrikes on the Houthis in Yemen. The Pentagon announced that since Saturday, March 15, 2025, it had targeted 30 Houthi sites in the largest U.S. military operation in the Middle East since Trump's return to the White House.  This ongoing military campaign cannot be viewed in isolation from the broader U.S. approach toward Iran, which is characterized by stringent economic sanctions and firm official statements underscoring Washington’s determination to exert maximum pressure on Tehran. These military strikes are part of a wider American strategy aimed at delivering clear and direct messages to Iran: that the United States is not only capable of countering any Iranian threat but is also resolute in defending its interests and allies in the region. Reinforcing this stance, U.S. President Donald Trump  declared on March 17, 2025, that Iran would be held accountable for any future attacks carried out by the Houthis, a clear indication that the Trump administration might consider direct strikes against Iran if the Houthis continue targeting American interests—especially if evidence emerges of military or intelligence support from Tehran. This statement reveals the potential for U.S. military strikes against Iranian targets or Iran’s affiliated groups in the region as part of an escalatory strategy designed to deter Tehran—not only in response to proven arms support for the Houthis in the future but also concerning its nuclear program. This comes within the context of Trump’s threats before launching the military campaign against the Houthis. On March 13, 2025, Washington delivered an official message to Iran, giving it a choice between negotiating a new agreement or facing direct military action. However, Tehran rejected negotiations under threat, further increasing the likelihood of escalation in the coming period. Israel’s Efforts to Open the Iran Front; The recent U.S. strikes on the Houthis in Yemen are part of an escalating military confrontation in the Middle East, coinciding with Israeli attempts to drag the United States into a broader conflict with Iran. Since the outbreak of Israel’s war on Gaza in October 2023, Prime Minister Benjamin Netanyahu's government has been pushing Washington toward a more aggressive stance against Iran. This was highlighted by The Washington Post on October 14, 2025, which noted Israel’s readiness to launch military strikes against Iranian targets, necessitating U.S. support and backing. Israel seeks to expand the scope of regional conflict by urging Washington to respond militarily to Houthi threats in the wake of the Gaza war. It appears that Tel Aviv is attempting to lure the United States into escalating tensions with Iran, particularly given Tehran’s logistical and military support for the Houthis. Thus, targeting the group could serve as a preliminary step toward broadening military operations to include direct Iranian targets, increasing the likelihood of escalation with Iran. Israel is betting on escalation, as suspicions grow over Netanyahu’s intentions to widen the war with Iran by exploiting ongoing conflicts in Gaza and Yemen. Israel views continued military pressure on Tehran and its proxies as a means to weaken Iran’s regional position and potentially push the U.S. toward more confrontational steps. This comes at a time when the influence of Iran’s allied factions has waned—particularly in Syria, where Bashar al-Assad’s regime collapsed on December 8, 2024, and in Lebanon, following Israel’s extensive strikes on Hezbollah, which resulted in the deaths of most of its senior leadership, including Secretary-General Hassan Nasrallah. Therefore, targeting the Houthis carries a direct message to Tehran: Washington is prepared to expand its operations against regional threats, which may provoke escalatory responses from Iran. This scenario aligns with Israel’s objectives of reinforcing its stance against Iran. Since the ceasefire agreement between Israel and Hamas in Gaza in January 2025,  Israeli Prime Minister Benjamin Netanyahu has been retreating from the deal under intense criticism from Israel’s far-right factions. In this context, Israel has resumed and expanded its attacks on Gaza. On Tuesday, March 18, 2025, Netanyahu’s office announced that Israeli forces had targeted Hamas positions across the Gaza Strip. This move is part of an escalatory policy aimed at keeping the war ongoing and preventing any long-term truce, as Israel considers continued military operations necessary to impose its political and security conditions. Furthermore, Israel is seeking to shift the confrontation to broader fronts. The Israeli military is expanding its presence in Syria, continuing airstrikes against Iranian targets and affiliated militias, while maintaining its military foothold in southern Lebanon despite the ceasefire agreement with Hezbollah in November 2024. This indicates that Tel Aviv is not only intensifying its military operations in Gaza but is also pushing for a larger escalation against Iran, which is the main backer of Hezbollah and Palestinian armed factions. This reflects Israel’s intent to keep regional tensions high and reshape the rules of engagement in the Middle East. In light of this, Israel is expected to cooperate with the United States in conducting precision strikes against the Houthis in Yemen in the near future, as well as in potential assassination operations targeting Houthi leaders. Additionally, it may participate in military actions against nuclear and military sites inside Iran, potentially triggering Iranian retaliation and further regional tensions. This escalation would serve to appease Israel’s far-right factions and the ruling coalition, which has repeatedly threatened to withdraw from the government and topple Netanyahu over his handling of Gaza and Iran. The escalation opportunities with Iran U.S. strikes may push the Houthis to intensify their attacks, especially in parallel with Israel’s escalation of airstrikes on Gaza at the moment. In his latest speech, the leader of Ansar Allah linked the cessation of attacks on Israeli ships in the Red Sea to the entry of aid into Gaza, which is not expected at this stage "despite mediators calling for a return to negotiations," given Israel’s resumption of the war on Gaza alongside the American military campaign against the Houthis in Yemen. This may necessitate additional American escalation, particularly after Trump held Iran responsible for any future Houthi attacks. On March 16, 2025, the commander of Iran’s Revolutionary Guard Corps, Hossein Salami, vowed to respond to any attack following threats from U.S. President Donald Trump against Tehran over Washington’s strikes on the Houthis in Yemen. In statements broadcast on state television, Salami said, "Iran will not start a war, but if anyone threatens it, we will respond appropriately, decisively, and firmly." This statement reflects Iran’s deterrence policy while also keeping the door open for a potential escalation if Washington decides to attack Iran by directly targeting Iranian sites. Hossein Salami’s statement carries a dual message: Tehran affirms that it does not seek war, but at the same time, it brandishes the threat of a strong response if it faces any direct threat. This message primarily targets the United States and serves as a means to deter any further escalatory measures by Israel regarding the Iranian nuclear file.  Salami's statement also aims to rely on escalatory rhetoric to reinforce his image domestically, especially amid the ongoing economic and military pressures on Iran. These statements also seek to reassure the Iranian public that the regime remains strong and capable of defending its interests against both the United States and Israel. Despite Iran’s statements affirming that it does not seek war, it simultaneously adopts the approach of "flexible deterrence," leaving the door open for escalatory options if Tehran is subjected to direct strikes. This keeps the region facing open-ended scenarios, ranging from the continuation of indirect confrontation through proxies to the possibility of events spiraling into a broader confrontation if Washington and Tel Aviv decide to go beyond limited strikes to directly targeting Iran. The Limits of U.S. Effectiveness in Deterring the Houthis Since the escalation of Houthi attacks in the Red Sea, the United States has adopted a dual military and political strategy in an attempt to restore lost deterrence. However, questions remain about the effectiveness of this policy in achieving its desired objectives, particularly given the Houthis' ability to adapt to U.S. pressure and continue their escalatory maritime operations. As part of these efforts, former U.S. Secretary of Defense Lloyd Austin announced the formation of a multinational naval force in December 2023 to protect navigation in the Red Sea and the Gulf of Aden under Operation "Prosperity Guardian." While this force has enhanced security measures, Houthi attacks have persisted, indicating that military deterrence alone has not been sufficient to completely halt the attacks.So far, the Houthis have divided their maritime campaign into five phases, which can be outlined as follows:• Phase One: Attacks focused on missile strikes targeting Israel, beginning in October 2023 with the Gaza war, and on Israeli-linked ships in the Red Sea starting in November 2023.• Phase Two: In December 2023, attacks expanded to include all ships heading to Israeli ports. Vessels with direct or indirect ties to Israel, as well as those that had previously visited Israeli ports, became targets.• Phase Three: In January 2024, attacks expanded further to target ships linked to the United States and the United Kingdom.• Phase Four: In May 2024, the scope widened again to include ships owned or operated by entities that also own vessels visiting Israeli ports.• Phase Five: This phase was announced after the Houthis launched the "Yafa" drone at Tel Aviv on July 19, 2024, marking a continuation of the previous phases. In each phase, the group managed to force more vessels to avoid the southern Red Sea. By the fourth phase, from at least late April 2024, additional shipping companies engaged in trade with Israeli ports had started avoiding the Bab al-Mandeb Strait. At the same time, on certain occasions, the attacks drew attention to other regional activities, such as Russia’s oil trade. U.S. efforts to restore deterrence against the Houthis face complex challenges, as limited military strikes and political sanctions have not decisively curbed the group’s escalation. While Washington seeks to strike a balance between applying military pressure and maintaining regional stability, the Houthis have demonstrated their ability to adapt to these pressures and expand their maritime operations, benefiting from Iranian support and escalating geopolitical tensions. In this context, the airstrikes launched by the Trump administration in Yemen marked the first time the U.S. had explicitly targeted Houthi leaders, in addition to their military centers and command-and-control hubs. The success of American deterrence against the Houthis may largely depend on adopting more aggressive strategies, such as the targeted assassination of key Houthi leaders—similar to Israel’s approach against Hezbollah commanders. This tactic could weaken the group's central leadership and disrupt its organizational structure, potentially limiting its ability to coordinate maritime attacks. However, this approach carries significant risks, as it may provoke the Houthis into even more aggressive retaliatory actions and potentially increase the likelihood of direct Iranian involvement in the confrontation. Possible Scenarios Iran Avoiding Direct Support for the Houthis to Prevent a Confrontation with Washington: Iran's lack of direct response to Israel’s escalation against Hezbollah in Lebanon—despite its declared "Unity of Fronts" doctrine—suggests a likely pattern that could also apply to its handling of U.S. escalation against the Houthis in Yemen. While Iran utilizes proxy groups to expand its regional influence, its direct military involvement remains constrained by complex strategic calculations related to the balance of power, the cost of escalation, and the ability to deter adversaries without being drawn into an open confrontation. In the case of Hezbollah, despite Israel’s recent military actions, Iran chose to regulate the intensity of the confrontation rather than push for a full-scale war. This reflects a strategy of "remote management," where Tehran supports its allies without direct engagement. The same approach may apply to the Houthis, particularly since the U.S. escalation occurs within the broader context of the Washington-Tehran standoff over the nuclear issue and aims to deter Houthi threats to international shipping. This perspective is reinforced by a statement from Hossein Salami, the commander of Iran’s Islamic Revolutionary Guard Corps (IRGC), on March 16, 2025, in which he asserted that "Iran will not start a war, but it will respond appropriately, decisively, and resolutely if threatened." This statement indicates that Tehran prefers to maintain a defensive stance rather than an offensive one that could lead to full-scale military escalation. At the same time, it does not want to appear weak in the eyes of its adversaries, meaning it may scale back its support for the Houthis in the short to medium term. It can be argued that U.S. military action against the Houthis is unlikely to trigger direct Iranian intervention unless Iran itself comes under direct attack. Should Iran face large-scale strikes on military sites within its borders, it may respond by expanding support for its regional proxies—despite their declining influence—through the provision of more advanced military technology or by mobilizing other militias in the region to divert pressure away from Iran. This scenario reflects a recurring pattern in Iranian strategy, wherein Tehran employs a "brinkmanship" approach without crossing red lines that would provoke a direct U.S. military response. Regional Escalation: The recent escalation—marked by the Houthis’ announcement of targeting the U.S. aircraft carrier Harry Truman and a U.S. destroyer in the Red Sea on March 18, 2025—signals a critical phase in the ongoing confrontations, particularly under the hardline Trump administration. Unlike the Biden administration's more restrained approach, Washington may push for a broader escalation against the Houthis' capabilities in Yemen, especially if Tehran's continued involvement in supplying the group with advanced weapons and technology is confirmed. The Trump administration is likely to view sustained attacks on its forces and naval assets as crossing a red line, potentially prompting an expansion of retaliatory measures. This could include intensified airstrikes on Houthi military sites within Yemen and targeting the infrastructure Iran uses to transfer weapons to the group. U.S. actions may also escalate to the point of considering direct strikes against Iran itself. However, given the geopolitical complexities, American strikes may not be limited to Yemen and Iran alone. They could extend to Iran’s regional proxies in Iraq and Lebanon, particularly if Iran-aligned factions target U.S. interests in the region. These factions have the capability to pose direct threats to American assets, which may prompt Washington to expand its military responses beyond the immediate Houthi threat.The Most Likely Scenario:  Given the current circumstances, the most probable scenario is the first one—where Iran avoids directly supporting the Houthis or engaging in a full-scale war with Washington, while the U.S. expands its military strikes against the Houthis' infrastructure. This stems primarily from Iran’s strategic caution in avoiding a direct confrontation with both Tel Aviv and Washington, aligning with its broader approach to regional crises, as seen in its management of the escalation between Israel and Hezbollah. However, Iran is likely to enter the conflict only in one case—if it faces a direct military attack. Conclusion The recent escalation in the Red Sea reflects the complexity of the regional landscape, where international and regional interests intersect, keeping the crisis open to further developments in the near future. While global powers seek to contain tensions and prevent a full-scale escalation, striking a balance between deterrence and containment remains a crucial factor in shaping the region’s security strategy. In this context, the United States faces significant challenges in deterring the Houthis, as the group has demonstrated a high degree of adaptability to military and political pressures. On the other hand, Iran’s approach to the U.S. escalation against the Houthis reflects a cautious strategic stance, as Tehran prefers to avoid direct confrontation with Washington while continuing to support its allies indirectly. Given the ongoing tensions, the Red Sea remains a key focal point in global security and economic calculations, necessitating more comprehensive approaches to address the escalating challenges.

한국어로 읽기 Leer en español In Deutsch lesen Gap اقرأ بالعربية Lire en français Читать на русском Since Recep Tayyip Erdoğan’s rise to power in 2002, one might ask whether we can speak of an Erdoğan Doctrine in Turkish foreign policy. The answer is no. Unlike classical doctrines that follow a consistent ideological or strategic framework, Erdoğan’s approach to both domestic and international politics is marked by pragmatic opportunism, transactional maneuvering, and tactical adaptability. His foreign policy does not stem from a fixed set of principles but rather from a fluid, recalibrated strategy designed to ensure political survival, power consolidation, and economic self-preservation. Yet, despite this adaptability, Erdoğan has consistently instrumentalized Islamism, Ottoman nostalgia, and Turkish nationalism as mobilizing forces, shaping both Turkey’s domestic landscape and its global positioning. These ideological currents serve not as doctrinal foundations but as strategic tools, deployed selectively to consolidate power and justify an increasingly interventionist and authoritarian foreign policy. Rather than an Erdoğan Doctrine, what we observe is a dynamic political strategy, one that shifts according to regional and global realities, balancing ideological rhetoric with realpolitik pragmatism. Erdoğan’s political trajectory has been characterized by extreme opportunism. Early in his tenure, he presented himself as a pro-Western democrat, championing Turkey’s EU membership and economic liberalization. However, as his grip on power consolidated, he shifted towards authoritarian populism, discrediting Western institutions and embracing an anti-Western, neo-Ottomanist discourse. His ability to manipulate ideological positions for strategic gain suggests that Erdoğan’s doctrine is less about consistent principles and more about sustaining power through ideological fluidity. This transactional nature extends to foreign policy, where Erdoğan has engaged in contradictory alliances. Turkey has simultaneously sought stronger ties with Russia while maintaining a position in NATO, balancing relations with Iran while confronting it in Syria, and denouncing Western imperialism while leveraging economic ties with the EU. The 2016 failed coup attempt marked a pivotal moment, after which Erdoğan’s rhetoric became deeply anti-Western, securitizing foreign policy as an extension of domestic political struggles. One of the defining characteristics of the Erdoğan strategy is the obliteration of the traditional boundary between domestic and foreign policy. In Erdoğan’s Turkey, foreign policy decisions are primarily driven by domestic political calculations rather than long-term strategic considerations. Military operations in Syria and Libya were framed as nationalist victories, consolidating Erdoğan’s support base while deflecting attention from economic crises. Political rivals and dissidents are routinely accused of being Western puppets or linked to foreign conspiracies, reinforcing anti-Western nationalism. Erdoğan actively uses the Turkish diaspora in Europe as a political tool, portraying himself as the protector of Muslims abroad and positioning Turkey as the leader of a global Islamic movement. This lack of distinction between internal and external affairs means that every foreign policy move is designed for domestic legitimacy. Military interventions, diplomatic crises, and economic policies are all packaged for domestic consumption to maintain Erdoğan’s image as a leader defying Western hegemony. Erdoğan has strategically invoked Islamist rhetoric and Ottoman nostalgia to mask domestic corruption, repression, and economic mismanagement. His use of Islamism is highly pragmatic rather than ideological. While Erdoğan once promoted a pro-business, moderate Islamist stance, he has increasingly aligned with more radical Islamic groups to rally conservative voters. Neo-Ottomanist narratives have been used to justify interventions in the Middle East and Africa, portraying Turkey as the rightful heir to regional leadership. The Directorate of Religious Affairs (Diyanet) has become an ideological tool for Erdoğan, framing his rule as divinely sanctioned while attacking secular and Western influences. Erdoğan’s economic policies reflect the same transactional nature. He has oscillated between free-market policies to attract Western investment and state-led crony capitalism to consolidate his own economic elite. However, his militarization of foreign policy has created deep economic vulnerabilities. Erdoğan’s decision to purchase Russian S-400 missiles resulted in U.S. sanctions and exclusion from the F-35 program, exacerbating Turkey’s economic downturn.  Aggressive gas exploration efforts isolated Turkey from the EU and regional actors, worsening trade relations. While Erdoğan has relied on Qatari financial support, recent Gulf rapprochements have left Turkey geopolitically and economically vulnerable. Turkey’s economic dependence on Western markets and capital contradicts Erdoğan’s anti-Western rhetoric, further proving that his doctrine is driven by short-term political survival rather than a coherent strategic vision. Rather than a structured geopolitical vision, the Erdoğan strategy is best understood as a political survival mechanism that combines: Extreme pragmatism and transactionalism, shifting alliances and ideological positions as needed; the fusion of domestic and foreign policy, where foreign affairs are a continuation of domestic power struggles; the instrumentalization of Islamism and Ottoman nostalgia, masking authoritarianism and economic decline; short-term opportunism at the cost of long-term strategy, leading to Turkey’s increasing diplomatic and economic isolation. Erdoğan’s rule has been marked by ad-hoc decisions, contradictions, and reactive policies that serve his immediate political needs rather than a grand vision for Turkey’s future. This transactional-opportunism makes the Erdoğan Doctrine an impossibility—while he projects an image of Islamic, nationalist leadership, his foreign policy is dictated by opportunism, insecurity, and personal political survival. The consequences of this approach are a weakened economy, diplomatic isolation, and an increasingly authoritarian state, making the long-term sustainability of Erdoğan’s model highly uncertain.  Another major characteristic of Erdoğan’s strategy is the securitization of domestic and foreign policy. Since Erdoğan ascended to the presidency in 2014, and particularly after the failed military coup of July 15, 2016, Turkish foreign policy has undergone significant transformations. These changes are marked by a growing reliance on securitization—the framing of domestic and international challenges as existential threats requiring extraordinary measures. Erdoğan’s approach has been shaped by three key factors: Islamist ideology, Ottoman nostalgia, and the deep-seated trauma of the Treaty of Sèvres. These factors have driven Turkey into high-risk foreign policy ventures, many of which have backfired, leading to strategic isolation, economic instability, and declining influence on the global stage. Erdoğan’s political strategy has been centered on constructing an image of perpetual threat to the Turkish state and nation. This approach is deeply rooted in the historical narrative of betrayal and encirclement—most prominently symbolized by the Treaty of Sèvres (1920), which sought to partition Anatolia and subject it to foreign control. This “Sèvres Syndrome” has been instrumentalized to justify an aggressive foreign policy, military interventions, and an increasingly authoritarian domestic stance.  Erdoğan has fused Turkish nationalism with political Islam, portraying Turkey as both the heir to the Ottoman Empire and the champion of Sunni Muslims. This synthesis has fueled a revisionist foreign policy, particularly in the Middle East, the Eastern Mediterranean, and North Africa. However, these ambitions have often led Turkey into conflicts with former allies and regional powers, undermining its strategic position. Erdoğan’s foreign policy, shaped by securitization, Islamist nostalgia, and historical trauma, has backfired spectacularly in multiple arenas. While he has sought to redefine Turkey as a great power, his tactics have instead led to growing regional isolation, economic instability, and internal discontent. The failure to balance nationalist rhetoric with pragmatic diplomacy has left Turkey more vulnerable than ever—caught between Western skepticism, Russian opportunism, and Middle Eastern volatility. Unless Erdoğan recalibrates his approach, Turkey risks further decline in both regional and global affairs. Since the Justice and Development Party (AKP) of Erdoğan came to power in 2002, Turkish foreign policy has undergone a significant transformation, shifting from a Western-oriented, EU-focused trajectory to a more assertive, independent, and, increasingly, anti-Western stance. While initially adopting a “thin populist” approach that emphasized regional engagement, neo-Ottomanist rhetoric, and Turkey’s role as a bridge between East and West, the AKP’s foreign policy has evolved into a “thick populist” approach dominated by a strong anti-Western narrative. This transformation was solidified after the Gezi Park protests in 2013 and, even more so, after the failed coup attempt of July 15, 2016, which the Turkish government blamed on the West-backed Gülen Movement. The growing securitization of Western powers and the increasing emphasis on Turkey’s Islamic and civilizational identity have led to an overt de-Europeanization of Turkish foreign policy. Erdoğan’s securitization of foreign policy has manifested in several high-risk ventures that have largely failed to achieve their intended objectives: Turkey’s military interventions in Syria (Operation Euphrates Shield, Olive Branch, and Peace Spring) were aimed at eradicating the Kurdish YPG, which Ankara views as an extension of the PKK.  However, this policy has led to severe tensions with the United States, which has supported the YPG as a key ally against ISIS. The result is a diplomatic impasse that has weakened Turkey’s influence in Syria while increasing its military entanglements. Turkey’s intervention in Libya, backing the Government of National Accord (GNA) against Khalifa Haftar, was an extension of Erdoğan’s neo-Ottoman ambitions. While it temporarily secured Turkish energy and maritime interests, it alienated Egypt, the UAE, France, and Greece, leading to counteralliances that have restricted Turkish maneuverability.  Erdoğan’s purchase of the Russian S-400 missile system was framed as a move for strategic autonomy but resulted in sanctions from the United States and exclusion from the F-35 fighter jet program. While this was meant to demonstrate Turkey’s independence, it has made the country increasingly reliant on Moscow, further complicating relations with NATO. Erdoğan’s aggressive posture has damaged Turkey’s relations with Western allies, leading to economic consequences, loss of diplomatic leverage, and isolation in Europe. Erdoğan’s confrontational approach—such as threatening to flood Europe with refugees—has eroded trust and reinforced perceptions of Turkey as an unpredictable and transactional partner. Erdoğan’s security-driven foreign policy has had dire economic consequences. The Turkish lira has suffered dramatic depreciation, foreign investment has declined, and inflation has soared. The Turkish public, initially supportive of Erdoğan’s assertiveness, is increasingly disillusioned as economic hardship worsens. Erdoğan’s securitization of policy has created short-term political gains but long-term strategic vulnerabilities. No one takes Turkey as a credible ally. His nationalist-Islamist rhetoric has been effective in consolidating domestic support, especially among conservative and nationalist voters, but it has also deepened Turkey’s diplomatic and economic isolation. Finally, Erdoğan’s foreign policy has been anti-Western.  A key driver of Erdoğan’s anti-Western foreign policy has been the gradual populist transformation of the AKP and consolidation of his power by purging other prominent personalities within the party.  Initially, under the leadership of Erdoğan, the party adopted a moderate, reformist discourse that prioritized EU membership, economic liberalization, and cooperation with Western allies. However, over time, populist tendencies became dominant, with Erdoğan increasingly portraying himself as the true representative of the “real” Turkish people against both domestic and international elites. Populist foreign policy, as seen in Turkey and elsewhere, follows a binary logic that pits “the virtuous people” against “the corrupt elite.” In the Turkish context, this binary has been extended to the international arena, with the West—Europe and the United States—constructed as the foreign equivalent of the corrupt elite, standing in opposition to Turkey’s rightful role as a global power.  The early years of AKP rule were marked by a pragmatic approach that balanced Turkey’s Western orientation with a regionalist vision. This period saw active engagement with the EU, NATO, and the U.S., while at the same time expanding relations with the Middle East, Balkans, and Africa under Ahmet Davutoglu’s “Strategic Depth” doctrine. During this era, anti-Western rhetoric was limited, and Turkey’s regional activism was framed as complementary to, rather than a rejection of, its Western ties. Following the Gezi Park protests and, more dramatically, the 2016 coup attempt, Erdoğan’s rhetoric became openly hostile toward the West. Western governments were accused of plotting against Turkey, harboring terrorists, and undermining Turkey’s sovereignty. Erdoğan framed his leadership as a struggle against an imperialist West determined to prevent Turkey’s rise. As he declared in 2019, “Turkey is now a country whose agenda is not determined [by others] but who determines her own agenda.” Thus, Turkey’s foreign policy became an extension of Erdoğan’s domestic populist struggle, where anti-Westernism served as both an ideological tool and a strategy for political survival. Another major factor behind Turkey’s anti-Western turn is the fusion of Islamist and nationalist discourses, which have become the defining ideological pillars of Erdoğan’s foreign policy. This ideological shift is best understood through the contrast between Kemalism and Neo-Ottomanism. Traditionally, Turkey’s foreign policy was shaped by Westernization, secularism, and nationalism. The country’s founding ideology sought integration with Europe, NATO membership, and alignment with the U.S. in the Cold War. However, Kemalist elites were also skeptical of foreign entanglements, leading to a cautious and isolationist diplomacy. Neo-Ottomanism and the “New Turkey” Vision of Erdoğan is anti-Western, Islamists, and serves for Erdoğan’s regime survival rather than national interest of the country. Under Erdoğan, a revisionist historical narrative emerged, portraying the Ottoman Empire as a great civilization that was undermined by Western colonialism and internal betrayals. In this vision, modern Turkey is the rightful heir of the Ottoman legacy and should reclaim its leadership role in the Islamic world. Erdoğan has repeatedly invoked the trauma of the Treaty of Sèvres (1920)—which proposed partitioning Turkey—as evidence that the West continues to conspire against Turkish sovereignty.  This ideological framework has shaped Turkey’s new foreign policy identity, positioning it as a leader of the Muslim world rather than a subordinate member of the Western alliance. As Erdoğan’s government became more authoritarian and Islamist, relations with the EU steadily deteriorated. The post-2016 crackdown on opposition figures, journalists, and academics led to increasing criticism from European leaders, reinforcing Erdoğan’s narrative that the EU is hypocritical, biased, and Islamophobic. While Turkey officially remains an EU candidate country, Erdoğan has openly questioned the sincerity of European leaders, arguing that the EU is a “Christian club” that will never accept a Muslim-majority country.  Erdoğan’s government has rejected Western liberal values, reversing democratic reforms and undermining the independence of judicial institutions, the media, and civil society. As a result, Turkey has moved closer to authoritarian models seen in Russia, China, and the Gulf states. Erdoğan’s anti-Western and de-Europeanized foreign policy is not just a reaction to specific diplomatic disputes—it is a structural transformation rooted in populism, ideology, and strategic recalibration. By casting the West as Turkey’s primary “other,” Erdoğan has crafted a nationalist-Islamist narrative that legitimizes his power, mobilizes his base, and redefines Turkey’s role in the world.  While this approach has granted Turkey short-term strategic flexibility, it has also left it increasingly isolated, economically vulnerable, and diplomatically constrained. The long-term sustainability of Erdoğan’s foreign policy remains uncertain, especially as domestic economic troubles and shifting global dynamics continue to reshape Turkey’s geopolitical landscape. One of the key arguments in understanding Turkey’s foreign policy shift is the interaction between domestic authoritarianism and international behavior. Unlike traditional middle powers, which pursue stability, Turkey’s domestic political dynamics—specifically Erdoğan’s populist authoritarian rule—have fueled its unusual, risk-prone foreign policy choices. Erdoğan has increasingly used foreign policy as a tool for domestic political survival, framing Turkey as a besieged nation fighting Western imperialists. Opposition parties are often accused of being aligned with “foreign agents” or Western powers, further deepening polarization. Nationalist rhetoric has been amplified during military operations, boosting public support for interventions in Syria, Libya, and Azerbaijan. This work is licensed under the Creative Commons Attribution-Non-Commercial 4.0 International License (CC BY-NC 4.0) https://creativecommons.org/licenses/by-nc/4.0/